Credit Score & Pre-Approval: What First-Time Buyers Must Know

Published on 4/16/2025
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BONUS Week 2: Your Credit Score & Pre-Approval Power — What Lenders Look For

One of the most powerful tools a first-time buyer can bring to the table isn’t cash—it’s a strong pre-approval. It shows you’re serious and financially ready.

What Lenders Review:

  • Credit Score: 620+ is the minimum for most loans, but 740+ unlocks the best interest rates.
  • Debt-to-Income Ratio: Keep this under 43%. Pay down credit cards and avoid taking on new debt.
  • Stable Income: Two years of steady work history is ideal—bonus points if it’s with the same employer.

Start early: check your credit report, dispute errors, and avoid major purchases before and during your home search. A strong credit profile can save you thousands in interest and closing costs.

Need help getting started? Some agents on Seeking Agents™ offer guidance and trusted lender introductions as part of their pitch—so you’re not doing it alone.

Pro Tip: A pre-approval letter can make your offer more attractive to sellers, especially in competitive markets.

Coming Soon: How to Spot a Smart Buy (and Avoid a Money Pit)


*Savings are not guaranteed and depend on market conditions and agent negotiations.
This article is for informational purposes only and does not constitute financial advice.
Always consult with a licensed real estate professional before making any real estate decisions.