Posted on: 10th Jun, 2006 10:48 am
In case of a joint mortgage whose FICO score is used? thanks
Hi Menges,
FICO score of the person making the most money will be used to determine the interest rate.
Douglas
FICO score of the person making the most money will be used to determine the interest rate.
Douglas
There are some lenders who take the lesser of the credit scores regardless of the income to fix it.
Hi Menges,
Normally lenders take the person with the highest income as the primary borrower. In case of married couples the couple should decide on how to qualify before they apply.
Sometimes it is better for the spouse with the higher score to apply in his/her name as long as his/her income satisfies the DTI ratio required by the lender.
The reason is that the interest rate is affected by the higher score and you can get lower rate but the rate is not affected by the income.
God bless you.
For MortgageFit,
Samantha
Normally lenders take the person with the highest income as the primary borrower. In case of married couples the couple should decide on how to qualify before they apply.
Sometimes it is better for the spouse with the higher score to apply in his/her name as long as his/her income satisfies the DTI ratio required by the lender.
The reason is that the interest rate is affected by the higher score and you can get lower rate but the rate is not affected by the income.
God bless you.
For MortgageFit,
Samantha
