<TITLE>EL PASO TEXAS - EL PASO Homes and Real Estate For Sale - REALTOR®</TITLE> - Commercial & Industrial Real Estate | El Paso & Fort Bliss Tx

El Paso Homes for Sale|Remax Agent|First-Time Buyer

Credit Score

Scoring Categories

The scale runs from 300 to 850. The majority of people will have scores between 600 and 800. A score of 720 or higher will get you the most favorable interest rates on a mortgage, according to data* from Fair Isaac Corp., a California-based company that developed the credit score. (Its own score is called the FICO score.) American public’s credit scores:

Resources

My FICO score

LendingTree

Mortgage Calculator

FICO<500

Free Credit Report

As always the information provided herein is provided "as is" and no warranties are made.

Credit Score

499 and below
500-549
550-599
600-649
650-699
700-749
749-799
800 and above

% of Public

1 percent
5 percent
7 percent
11 percent
16 percent
20 percent
29 percent
11percent

30 Fixed Mortgage

620-639 = 6.12% ARP

640-659= 5.66% ARP

660-679 = 5.12% ARP

680-699 = 4.92% ARP

700-759 = 4.75% ARP

760-850 = 4.52% ARP

Interpretation

below 60 = subprime rate

620-674 = as much as 2 points about prime rate

675-720 = 1/2 point above prime

720+ = prime or the bank's best rate

Comments

Below 620: A credit score under 620 puts you in the category of a “sub-prime” borrower. If you are approved for a mortgage with a credit score this low, you’ll likely pay about 3 percent more than someone with excellent credit.

620 to 674: With a below-average credit score, your options will be reduced, and you’ll pay a premium on your loan, maybe as much as 2 percent more than borrowers with excellent credit. You may need to provide more documentation than those with higher scores, including a formal appraisal of your home’s value. But if you make your payments regularly and work to improve your credit score, you should be able to refinance at a better rate, which can save you money over the life of the loan.

675 to 719: At a credit score of under 720 you won’t get the bank’s best rate. Good news is you shouldn’t have trouble finding a good loan. On a 30-year fixed-rate mortgage, expect to pay up to half a percentage point more than someone in the top category.

720 and above: great credit score and lender’s will offer you the most favorable rate. You will be eligible to borrow more than 80% of the value of your home and maybe avoid private mortgage insurance.

*The opinions expressed here are my personal expert opinions as a real estate agent licensed in Texas and are to be used for general information purposes only. Nothing contained herein constitutes nor is intended to constitute an offer, inducement, promise, or contract of any kind. The data contained herein is for informational purposes only and is not represented to be error free. Any links to russell-realtor.com subscribers, user or non-members are provided as a courtesy. They are not intended to nor do they constitute an endorsement by russell-realtor.com or its contributors of the linked materials. Interest rates are accurate as of November, 2009.

If you are not already working with an Agent
Please call this Buyer's Agent, 873-8646 to see these homes.

IMPORTANT NOTICE Russell-Realtor is not associated with the government, and our service is not approved by the government or your lender. Even if you accept this offer and use our service, your lender may not agree to change your loan. If you stop paying your mortgage, you could lose your home and damage your credit rating.