You can prepare with for the mortgage preapproval process with these four steps:
- Obtain a free credit score: A credit score of at least 620 is often recommended in qualifying for a mortgage, though higher scores can benefit you with the loan amount and interest rate. But some lenders will approve borrowers with lower scores. For example, FHA loans allow for a minimum credit score of 580 and offer low down payment options, such as 3.5% of the purchase price. Generally, the higher your credit score, the larger the loan amount and the better mortgage rates you can qualify for. A score of 760 or higher tends to snag the best rates.
- Do a checkup: AnnualCreditReport.com offers free credit reports. You’re entitled to one free credit report from each of the three major credit bureaus — TransUnion, Experian, and Equifax — every 12 months.
- Check your credit report for any errors: Dispute any errors that may be unfairly causing your credit score to be lower than it should be. The three credit bureaus each have an online dispute process listed on their websites.
- Evaluate your debt-to-income ratio: Having a high DTI is the top reason lenders deny a mortgage. DTI ratio calculators are available online to help you estimate your DTI. If you have a high DTI, pay down your debt, refinance, consolidate debt, or reduce any expenses to make yourself more mortgage ready.
Check out below to see what sold in The Townes at Liberty Park in August 2025:
28006 Declaration Road, Novi: 2 bedrooms, 1.1 bathrooms, 1,050 sq. feet, 1 car garage, Sold Price: $279,000
The Townes at Liberty Park Home Sold
August 2025
For more information on The Townes at Liberty Park, contact The DiMora Team today at 248-505-7728 or jim@dimora.com.