Lower Interest Rates. Higher Standards.

September 1st, 2020

Mortgage interest rates continue to be at historic lows.  That makes it a great time to buy a home – if you can qualify. While the pandemic has kept rates down, banks are hedging their bets against economic uncertainty by raising the qualification standards for getting a mortgage.

According to Michaelle Bond, writing for the Philadelphia Inquirer, some lenders are raising the minimum credit score by 100 points, and taking a more restrictive view of debt. These tighter qualification standards apply to borrowers across the board, from lower-income applicants all the way up to those looking for jumbo loans for luxury or vacation properties.

The bottom line?  If you’re considering a home purchase, talk to several lenders and see if you qualify before you start shopping.

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