Building Credit for Your Dream Home: 5 Clever Tips (Minus the Credit Cards!)

So, you're on the hunt for your dream home, but your credit score is in need of a little TLC. Building your credit doesn't always require opening credit cards. Here are some nifty tricks to amp up your credit score without applying for new plastic.

  1. Rent Reporting: Who knew that paying your rent on time could actually help you build credit? Rent reporting services work alongside work your landlord to report your timely rental payments to credit bureaus. This way, your responsible renting habits have the chance to shine on your credit report. 

  2. Experian Boost: By linking your utility, cell phone, internet, and even eligible streaming service accounts to Experian Boost, your payment history for these bills can be included in your credit file. Finally, those pesky monthly bills can work in your favor! 

  3. Authorized User Status: Have a friend or family member with impeccable credit? Ask if they'll add you as an authorized user to their credit card. As an authorized user, you'll inherit their credit history, making it rain positivity on your own credit report. Just be sure your creditworthy benefactor continues to handle their finances responsibly; you don't want to be caught in a credit storm.

  4. Secured Credit Card: While it's not entirely avoiding a credit card, a secured credit card can be a good option for building credit. A secured credit card is like a regular credit card, except you'll need to make a deposit as collateral, which then becomes your credit limit. By using this card judiciously and making timely payments, you're on your way to establishing credit history without the temptation of going on a reckless spending spree. 

With these clever credit-boosting methods, you can set sail on your homebuying journey armed with a solid credit score. Remember, building credit takes time and consistency. Be patient, pay your bills on time, and keep your credit utilization low. Before you know it, you'll be unlocking the door to your new home with confidence.

Did you find this article helpful? Please share it!

* Specific loan program availability and requirements may vary. Please get in touch with your mortgage advisor for more information.
For information purposes only. This is not a commitment to lend or extend credit. Information and/or dates are subject to change without notice. All loans are subject to credit approval. Leopard Funding does not make any mortgage loan commitments or fund any mortgage loans. Leopard Funding arranges loans with third-party providers.

Leopard Funding, LLC. DBA: Leopard Group | NMLS Unique Identifier 2090994 |Licensed by the N.J. Department of Banking and Insurance | | Equal Housing Opportunity