Credit rating and renting Vs. buying

manolo1975

Hi there,

I have had some trouble in the past (5 years ago) with an unpaid mobile phone bill and my credit rating was properly hit as a result of this. I have been living within the same electoral roll for the last 5 years and I checked my credit rating which is recovering.

My question is:

I have just tied the knot and me and my wife are possibly looking to buy a house. however, we might need to save some more so maybe renting for few months would be ideal. If I move to a renting accomodation where I need to change my electoral roll will it affect my credit rating? In order to keep the credit rating as good as it can be does that mean I should really look for buying rather than renting? In the case I cannot afford buying, how long would I have to rent in order to recover what I might lose by moving house (meaning having to change address on credit car, electoral roll etc...). I know that moving is quite damaging for credit rating but I have no option as I now work outside of London.

Please help!!!

Manolo1975

Radiantsoul

I am not sure moving house is all that devasting to a credit rating. And I can't see that a missed phone payment five years ago should be that bad either...Have you actually been refused credit?

I suppose being a home owner will improve your credit rating as you have a potential asset for creditors to attack. But buying a house to improve your credit rating just seems like putting the cart before the horse!

manolo1975

I am not trying to buy a house in order to boost my credit rating. I am trying to buy a house because I just got married and we want to settle somewhere. However, the funds are not there so we might need to relocate in a rented accomodation for the time being until we actually have enough to buy what we want. I have read that moving houses can damage the credit rating and was wondering if living moving, rent for a year will damage my hard earned credit rating.

regards