Real Estate Agents In Gainesville: Understanding FICO Scores

Real Estate Agents In Gainesville: Understanding FICO Scores

Clients of Gainesville Fl real estate agents need to know what a FICO score is, why it matters, and how it is determined.

According to Gainesville FL real estate agents, credit is used to acquire assets and the lines of credit are being extended to entities which are grounded on some combined factors that determine a score. To protect your credit history and maintain reputable credit for big purchases like a car or a Gainesville home, one must understand his/her credit score. The real estate agents in Gainesville FL have a protocol to obtain scoring information from their clients who are planning to buy a home, either the regular residential or short sale home.

A credit score is simply a numerical value formula that a company/lender uses to evaluate the capability of an individual to pay a loan and the factors included in the formula vary. Lenders do pull up this score as reference in the approval of credit application. To acquire the best interest rates and maintain affordable and low home payments, real estate agents in Gainesville depend on their clients’ score. They are well-equipped in giving you the cream of the crop.

FICO stands for Fair Isaac Corporation – a rating process used in the prescribed formula from which the calculation of scores is drawn. The creditors and lenders deter from entities with lower scores representing a greater higher risk model. On the other hand, they are continuously eyeing for entities with higher scores to lend to.

A loan with reasonable interest rates cannot be acquired if the FICO score is way too low. The creditors/lenders look for those with high FICO to offer them assistance in securing their business by giving them competitive interest rate and terms. The median FICO score for borrowers in 2010 was 73.

There are three main credit reporting agencies that use the FICO credit model, namely: Equifax, Trans Union, and Experian. The creditors use the middle score number instead of the high or the low whenever they are considering a mortgage application. The lender also determines the rate of interest you will be charged, in large part, on how high your FICO scores are.

Breakdown of a FICO score:

35% of score is based on payment history
30% of score is based on the number of accounts you owe on
15% of score is based on how long credit accounts have been open & the activity
10% of score is based on recently opened new accounts.
The realtors in Gainesville promote responsible tracking of credit history at least once a year in order to make sure that there are no errors. If errors are found, an appeal to remove them could be made. It is vital to protect the credit history from abuse and fraud. Your credit score is important and need monitoring.

Remember to responsibly track your credit history to make sure that there are no errors – at least once a year. Your credit score is seriously important and does require monitoring. If you find errors, appeal to all three agencies to have them removed. Protecting your credit history from fraud and abuse is necessary.

Other Articles to Read:

Choosing the Best Offer for Gainesville Short Sales

Short Selling and Renting from the New Owner – Gainesville Short Sales

Will the Mortgage Debt Relief Act Get Extended – Gainesville

Will Florida Speed up the Foreclosure Process?

Call Stephanie Anson today at 352-260-0153 for a confidential phone interview regarding your options.

Please seek legal advice. This information is for informational purposes only.

Contact Stephanie Anson, CLHMS, CDPE, SFR, Realtor®, Anson Properties LLC. Licensed Realtors® in Florida at 352-260-0153 to list your property for sale or to purchase a property in Gainesville, Archer, Alachua, High Springs, Waldo, Keystone Heights, Hawthorne, Melrose, Cross Creek, LaCrosse, Williston, Earlton, Ocala, Micanopy, Newberry, Kanapaha, Haile Plantation, Duck Pond and the rest of Alachua County Florida, Orange County Florida and Seminole County Florida. We are accepting referrals.


Stephanie Anson

When choosing a Gainesville, FL short sale agent, Stephanie Anson understands how avoiding foreclosure impacts you and your family’s life as well as those around you. Stephanie Anson is a respected member of the local business community and knows what it takes to prevail. She is one of the most dedicated and committed Gainesville, FL short sale agents. Her experience and emphasis on customer service and satisfaction along with her technological background has been a driving force throughout her real estate career. From the time Stephanie served in the US Navy to now, she takes the time to get to know each of her clients, associates, and industry professionals and forms lifelong relationships with them.

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