I had a score of around 700 and recently bought a home for 200k. I got a 30 year fixed loan at 5 percent. I’m only 23… Well I just checked my score and its now 687. I’m guessing my score went down due to mortgage loan. How long will it take to go back up? And how much does a mortgage improve my credit?
It could be a number of things. Possibly the numerous credit inquires that are involved in the mortgage process. But the real reason is that you now have more debt and monthly payments that would hinder you ability to borrow more money. Remember, FICO score is supposed to be a measure of how worthy you are take on debt.
The effect of ANY change on your credit score depends on your ENTIRE credit file. NONE ot your questions has a correct answer with one exception. In your case, the mortgage apparently reduced your score by about 13 points.