How does my SCHUFA score affect my mortgage?
During the mortgage application process, most but certainly not all banks will query your SCHUFA score to understand your creditworthiness. Different lenders have different requirements for both the “SCHUFA Basisscore” (basic score) and industry score. Basically, the rule is: the higher your score, the better your chances of getting a mortgage. Typically, you should have a basic score of over 90 percent and an industry-specific score between A and C.
If your SCHUFA basic score is below average, there are still bank solutions for your mortgage, but you will need to raise this with your advisor beforehand.
If you have several credit loans running, especially for small sums, it affects the SCHUFA in such a negative way that it may thwart your loan application. You should aim to close them at least 3 months before the mortgage application to be on the safe side. More tips on how to improve your SCHUFA score can be found here.
There are two different requests or inquiries that we can make on your behalf once you have given us your written consent. The first is a so-called condition request (“Konditionenanfrage”) which is a pre-check to discuss if you are potentially eligible for a loan on a specific property from a specific bank. This request will show up in your SCHUFA as a neutral result and will be removed after one year, but it is only visible to you and not to third parties such as banks.
The second is a credit request (“Kreditanfrage”). It is an actual request if you are eligible. Too many of these kinds of requests, and in particular rejections, may hurt your SCHUFA score. That’s why you should be careful not to have parallel mortgage applications, and to only do this with a reputable and knowledgeable advisor.
Reading Tip: These Criteria Affect Your Creditworthiness