Despite knowing more about their credit, people say they are still getting denied for loans at one of the most credit-crucial times in life: purchasing a home. Recent findings from Experian indicate that while 74 percent of those surveyed see credit as a valuable tool rather than a necessary evil in the home buying process, there are still significant knowledge gaps. Credit skills still get a workout in the lead-up to a home purchase for many.
Highlights from the 2016 survey include:
- One in five homebuyers surveyed said they’d have to forego or opt out of the loan process for at least the next five to 10 years, due to low credit scores
- First-time buyers also lack the confidence about their credit status that experienced buyers maintain (51 percent versus 68 percent), and feel less financially prepared to buy a home (50 percent versus 69 percent)
When your credit confidence needs a boost before a home purchase, there’s no shortage of ways to get your credit knowledge growing before you take action.