Buying my first property

[Bryant Phillips]

Hey what's going on I just want some input. I'm trying to buy my first property I just graduated from college in December and I'm trying to get into real estate. I was wondering could I get a mortgage with a score of 575. Only have a car loan that I just got, two credit card that I haven't over used and been paying on time. Recently got a secured credit card, also have student loans that I have been paying on time.The only collections I have add up to $900. Is it possible for me to get a mortgage loan? Or do I have to work on my credit some more? Thank you in advance

[Annette Hibbler]

Hi Bryant, I'm a Realtor in Michigan. You should know that the lower your credit score the higher the interest rates you will have to pay and that could easily add up to thousands of dollars over the years.  Paying your loans on time is a great way to improve your current score.  I often work with mortgage lenders in my business. Many such as Fannie Mae, will accept a score of 635 is the lowest score they work with but don't hold me to it. Do your own online investigation.  

My suggestion would be to hold off a little while longer. Now that you have a credit card, use it once a month and pay it in full and on time every month.  This will go a long way to building up a positive credit history for you.  Credit is everything in our economy, so nuture it carefully and protect it!  

Hope this helps. :-)