Yes, over time, buying a house can build your credit score. However, when you initially take out a mortgage loan, expect to take a short-term hit because you’ve opened a new credit line. Credit bureaus will want you to prove your ability to pay the mortgage on time before your score increases.
After a brief credit decrease, buying a home is a positive way to influence critical factors of your credit, such as on-time payments, credit mix, and length of credit history. As long as you continue to make payments and keep your debt-to-income ratio reasonable, your credit will increase.
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