Good credit score will cost you more under Biden's new mortgage rule

So, I came across this really interesting article today about how having a good credit score may actually end up costing you more under Biden’s new mortgage rule. Crazy, right?

Basically, under this new rule, banks and lenders will be required to consider a borrower’s actual debt-to-income ratio when determining their ability to repay their mortgage. This means that even if you have a high credit score, if you have a lot of debt and a low income, you may not qualify for the same low interest rates that someone with a lower credit score and a higher income would.

I know firsthand how important credit scores can be when it comes to getting approved for loans and mortgages. A few years ago, I was looking to buy a house and was thrilled to see that I had a pretty decent credit score. But when I went to the bank, I quickly learned that my debt-to-income ratio was too high and I wouldn’t be able to get the interest rate I wanted. It was a frustrating experience, to say the least.

But back to the article. I think this new mortgage rule is definitely something to keep in mind if you’re thinking about buying a house anytime soon. While having a good credit score is still important, it may not be the only factor that lenders take into consideration anymore.

In conclusion, if you’re thinking about buying a house under Biden’s new mortgage rule, make sure to do your research and pay attention to your debt-to-income ratio, even if you have a great credit score. It may end up costing you more in the long run if you don’t.