Today, I’d like to share ten tips I learnt from a very experienced mortgage broker who specializes in getting financing for serial investors. These strategies will help you improve your credit rating.
- Reduce your unsecured debt (i.e. credit cards and lines of credit (LOC) not secured by an asset)
- Eliminate car loans and car interest payments
- Reduce secured large revolving LOC debt (i.e. line of credit that is always full)
Boost Your Income
- Report all of your rental income
- Plan and report sufficient income (if self-employed)
Manage Mortgage Payments
- Slow down accelerated or double payments
- Re-amortize loans to reduce monthly obligation
- Avoid approvals with 25-year amortization. Always aim for 30-year amortization instead.
- Review your investing strategy with an experienced mortgage professional
- Implement their suggestions