Do you have a credit card with a high limit? Or several credit and store cards that have a high limit when you add them all together?
Even if you pay them off every month, you could be putting a serious dent in your ability to borrow. One adviser says a $15,000 credit limit reduces your borrowing power by $80,000, while a credit card with a $20,000 limit – or two with a $10,000 limit – will reduce your potential loan by $100,000. Think about reducing your credit limit before you apply for your next home loan!