Financial Tips / Mortgage Advice

Building a Home? Tips to Maintain Your Credit

Dreaming of building a new home? One of the first steps in the process should be speaking with a lender about mortgage pre-qualification. This preliminary conversation will be highly educational and will help you to choose the financing that is right for your situation.

During the pre-qualification process, your lender will review your credit report, but it will likely be many months before you are ready to move into your new home. Here are three tips to keep your credit on track during the building process:

Maintain your typical financial habits. If your credit score is in a healthy range at the time of your pre-qualification, you will not want to make any major changes. It’s especially important to continue to pay your bills as usual and on time.

Don’t make any major purchases. This is an exciting time, and people often want to buy things like furniture, appliances or cars, but these purchases will impact your credit score. Ask your loan officer before proceeding with any new accounts so that you have an understanding of the impact of the purchase.

Don’t open or close any existing accounts. Sometimes we think that closing a credit card or another account that we don’t use will improve our credit, but it may have the opposite effect. A credit report weighs many factors, so talk to you loan officer before making any changes.

It would be wise to work closely with your lender throughout your building process. No question is too small and open conversations with your lender will set the stage for a smooth transition to your new home.

Are you ready to embark on the home buying journey? Working with an experienced, dedicated professional, like those at Univest, can help make the process as smooth as it can be. Get started today by contacting us at 877-723-5571 or

Univest Bank and Trust Co. is an  Small-House-Black-Logo_vs2_21x17 Equal Housing Lender.

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