Buying A Home | Does Debt Consolidation Affect

Debt consolidation can significantly impact your ability to buy a home, either making you a stronger candidate or temporarily hurting your chances depending on your and strategy . How Consolidation Can Help

: Consolidation only works if you stop using the credit cards you just paid off. Running up new balances alongside the consolidation loan will increase your total debt and hurt your DTI. Strategic Timing How Debt Consolidation Can Affect Buying a Home

: Applying for a consolidation loan triggers a hard inquiry , and a new account lowers your average account age, both of which can cause a temporary drop in your credit score.