Five credit steps before applying for a home loan in Florida

Start with accuracy and on-time payments

First, review the reports from all three major bureaus and dispute information that is inaccurate. Second, keep every payment on time. FICO says payment history is the largest scoring category, about 35% for a typical FICO Score. Set reminders or automatic minimum payments if that helps you avoid an accidental late payment.

Third, review card balances relative to limits. Pay down what you can comfortably afford without emptying the savings you need for closing or an emergency. There is no universally guaranteed score boost or exact utilization threshold.

Be deliberate with new credit

Fourth, talk to your loan officer before opening new accounts, financing a car or closing an old card during a mortgage transaction. Such changes can affect your debts, available credit or underwriting. Closing a card solely as a quick score fix may not help.

Fifth, compare lenders in a focused shopping period. FICO applies special treatment to qualifying mortgage inquiries made while rate shopping; the exact window depends on the score version. Ask each lender for the same loan scenario and compare fees, APR and cash to close alongside the interest rate.

Give yourself room to prepare

A credit file takes time to build. If you are planning a purchase in Tampa, Orlando, Fort Myers or Cape Coral, start reviewing it before you make an offer. A loan officer can explain the documentation and options for your situation, but no article can predict approval or a score change.

Further reading

• FICO: What goes into a score
• FICO: Mortgage rate shopping
• CFPB: Common credit-report errors