Refinancing Or Selling Your Los Angeles Home? Check Your Credit First

Many homeowners in Los Angeles, Glendale, Pasadena, Torrance, Downey, Whittier and the surrounding areas are thinking about their next move. Some want to refinance to lower a payment or take cash out for repairs. Others want to sell and buy a different home. In every case, a lender will look at your credit again.

Your credit may have changed since you bought your current home. This guide explains why it matters and what to review before you apply.

Why Credit Matters When You Refinance

A refinance is a new loan. The lender pulls your credit and reviews your profile much like the first time. Your credit can affect:

• Whether you qualify for the refinance.
• The interest rate you are offered.
• How much cash out you may access.
• The closing costs and terms.

The Consumer Financial Protection Bureau offers tools to compare loan offers and understand closing costs.

Selling And Buying Again

If you plan to sell and buy another home, whether moving up, downsizing or relocating within Southern California, you will likely need a new mortgage. Lenders will review your current mortgage payment history along with your other accounts. A recent late mortgage payment can be especially important to address.

What To Review On Your Reports

Request your free reports from AnnualCreditReport.com and look for:

• Mortgage payment history: confirm every payment is reported correctly.
• Credit card balances: high usage can lower your score.
• New collections or medical bills you were not aware of.
• Hard inquiries you do not recognize.
• Personal information errors like wrong addresses.

If you find information you believe is inaccurate, you have the right to dispute it under the Fair Credit Reporting Act.

Common Mistakes Before A Refinance

• Opening new credit cards or financing a car right before applying.
• Missing a payment during a busy move.
• Closing old credit card accounts, which can raise your usage ratio.
• Waiting until after an offer to look at your credit.

Other Credit Goals

Not everyone reading this is buying or selling right away. If you need help with credit for a car, a business, or simply want a stronger profile, the same review is a good first step. See our Los Angeles credit repair page and our services for more.

How 700 Credito Helps Los Angeles Homeowners

700 Credito helps homeowners and buyers across Los Angeles and surrounding areas understand their credit, address reporting errors and prepare for their next step. Services are by appointment, in English and Spanish. Start with our credit analysis preparation checklist.

Frequently Asked Questions

Will refinancing hurt my credit?

A lender's credit check is a hard inquiry, which may have a small, temporary effect. Shopping several lenders within a short period is often treated as one inquiry for mortgages; ask your lender for details.

Can I refinance with a lower credit score?

It depends on the loan program and lender. A stronger profile usually gives you more choices.

Should I check my credit before listing my home?

Yes, if you plan to buy again. Knowing your credit early helps you plan your next purchase.