Skip to main content

For homebuyers1 min read

How your credit affects your loan

What lenders look at beyond the score, how credit shapes your options, and the moves to avoid once you're shopping.

Score and history both matter

Your credit score is a snapshot, but a lender reads the whole report: how long you've had credit, whether you pay on time, how much of your available credit you're using, and any recent applications. Two people with the same score can qualify differently once the details are in.

What it changes

Credit affects which loan programs you qualify for and the pricing you're offered. Government-backed programs like FHA and VA are often more flexible on credit than conventional loans, which is one reason the same buyer can look stronger under one program than another.

Before and during your application

Once you're shopping, keep things steady: don't open new credit lines, finance a car, or run up balances, and don't close old accounts without asking first. Any of those can move your numbers at the wrong moment. If you want to improve your credit before applying, your loan officer can tell you which changes are worth making.

Questions about your own file?

A loan officer licensed in your state can run your actual numbers.

This guide is general information, not financial advice, a quote, or loan terms. Program availability and qualification vary. ALCOVA Mortgage LLC, NMLS #40508 (www.nmlsconsumeraccess.org). Equal Housing Lender.