larryandshaunafuller asked:
Also when do you get to excellent? Next, with a 640 FICO score, perfect payment history but not good D.T.I. what kind of rate can expect? Thanks everyone!
and yes Im working on the old score!
3 Responses for "Whats a good FICO score in reguards to refinancing a home. What is the bottom of the good range?"
Depends on the lender. You can usually find a lender who’ll accept you even if your score is low (although it’ll be tougher these days) but you’ll pay more.
Go to MyFico.com. They have estimated rates for different score ranges.
DTI will depend on the lender too. It’s not factored into the score so it’s something they weigh on thier own. I’d check you loan to value ratio though. That’s becoming more heavily considered today. If your highly leveraged it’s going to be tougher.
Each lender is different, and only a few months ago this would have been easier to answer. But this “sub-prime collapse” has changed a lot of things
With that said, a few lenders can still get you done in the mid, to high 500’s. (not counting other factors) however, It’s not worth it in my opinion until you get to atleast 680
The interest rates are going to be pretty poor below that. Trust me, work on your credit because right now the rates are really good and a great opportunity. Dont waste it by being impatient
680 is not hard to achieve - and you’d be well advised to work towards that before buying
1. A FICO score can range from 300 to 850.
2. The national AVERAGE FICO score is 678.
3. The MEDIAN American FICO score, however, is higher at 723.
4. Anything below 620 - 650 is considered a poor score. And remember - the lower you score, the higher the interest you are charged, assuming you can get credit in the first place.
5. There is nothing wrong with having a median score of 723. This is a good credit score and lenders will perceive you as unlikely to default and offer you a competitve interest rate.
6. A score of 770 and up is considered excellent and people with these scores get the very best deals. However, the advantage between having a score of 800 versus 700 is minor compared to the difference between having a score of 700 versus 600.
7. At below 550 you would be considered to have damaged credit and be in need of credit repair.
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