What is considered a 'good' credit score range for obtaining a mortgage?

What is considered a 'good' credit score range for obtaining a mortgage?

• A. 700 to 850
• B. 600 to 699
• C. 500 to 599
• D. 400 to 499

Answer: (A)

A credit score in the range of 700 to 850 is widely recognized as a 'good' credit score for obtaining a mortgage. This score range indicates to lenders that a borrower is likely to manage their financial obligations responsibly, demonstrating a history of timely repayments, low credit utilization, and responsible credit management. Having a score of 700 or higher typically qualifies borrowers for better interest rates and loan terms. Lenders assess credit scores to gauge the risk of lending to an individual; thus, those with higher scores are seen as lower-risk borrowers, which can lead to more favorable mortgage options, including lower down payments and reduced interest rates.

A credit score in the range of 700 to 850 is widely recognized as a 'good' credit score for obtaining a mortgage. This score range indicates to lenders that a borrower is likely to manage their financial obligations responsibly, demonstrating a history of timely repayments, low credit utilization, and responsible credit management.

Having a score of 700 or higher typically qualifies borrowers for better interest rates and loan terms. Lenders assess credit scores to gauge the risk of lending to an individual; thus, those with higher scores are seen as lower-risk borrowers, which can lead to more favorable mortgage options, including lower down payments and reduced interest rates.