Skip to main content

The Manual may earn a commission when you buy through links on our site.

Buying a House? Credit Karma Finds You the Lowest Rates

Pay Off Your Debt and Build an Emergency Fund - Tips for buying your first home
Getty Images

If you’ve been carefully reading through how to buy a house in recent times then you almost certainly know the importance of getting the right mortgage for you and finding the lowest rates for your situation. It can be a confusing world out there, especially when it comes to financial information, but that’s why Credit Karma is here to help. Besides offering regular, free updates on your credit score, Credit Karma in particular is a great tool to learn all about how much you can afford to pay for a house and what your monthly payment will be. It simplifies the process so you won’t be confused by anything. Read on while we take you through just how effective it is.

What is the Credit Karma Home Buying Power Calculator?

Image used with permission by copyright holder

Credit Karma really couldn’t be simpler to use. All you need to do is head to the site and enter a few key details about your financial situation. That involves entering your monthly income before taxes, any down payment you can contribute, and any monthly debt payments you’re already dealing with, along with information on the mortgage interest rate you’re interested in.

Once you’ve entered those details, Credit Karma figures out the maximum home purchase price you can afford, along with the loan amount involved and what the monthly payments should be, as well as the lowest mortgage rates available to you. From there, you know exactly what to expect from your potential future home. Just keep in mind that you will need to be a Credit Karma user to use this too, but you can sign up for free now.

Why Should I Use Credit Karma?

Credit Karma members get more benefits than simply receiving a free credit score whenever you head over to the website or open the app.As a member, you also get recommendations on the right mortgage offers for you. It’s all based on your credit score, ZIP code, and mortgage amount, so there’s no need to answer lengthy or invasive questionnaires to search for the offers that are most suitable for you. Worried your credit score isn’t up to scratch just yet? Credit Karma can also provide advice on how to improve it and figure out the best methods for you to consolidate any existing debt.

When it comes to homeowners eligible for refinancing deals, Credit Karma lists them all directly on your dashboard so you can select them at any time, instantly learning which lenders are best for you to work with. It’s like having your own helping hand each step of the way.

What Other Features Does Credit Karma Offer?

Credit Karma also has its Home Pulse equity tracker. The feature allows its members to link their home to their Credit Karma account. That way, you can then track the value and amount of equity you have on your home at any time with an optional feature enabling you to enter your current mortgage rate. From there, Credit Karma gives you a heads-up on any good refinancing opportunities based on an actual offer from one of its partners rather than pursuing a one-size-fits-all solution that other trackers might provide.

For instance, if you have a 4.0% rate on your house and Rocket is offering 3.25%, Credit Karma will proactively let you know, just as if it were your very own financial advisor. It’s far more effective than relying on algorithms or more general recommendations.

How Secure is Credit Karma?

When providing any company with lots of personal information, you want to know that such information is being kept safe. That’s certainly the case with anything you offer to Credit Karma. The company prides itself on never selling your information to additional partners or lenders. Instead, only the company that needs to receive your contact information will ever get it.

While many of Credit Karma’s competitors may sell your information to multiple lenders, meaning you get unsolicited calls and emails, Credit Karma never does this. That way, you only get the calls and emails that you want to receive.

How Do I Use Credit Karma?

Head over to the Credit Karma website and enter your details. It takes mere seconds to do and once you’ve got the relevant information, you’re good to go. It’s as simple as that. You won’t regret it and you’re likely to find a better deal than before.

Jen Allen
Freelance Writer
Jen Allen is a technology and lifestyle writer with over 10 years of experience.
From Gilda Radner to Ali Wong, these are the best female comedians of all time
These women from all generations will make you laugh out loud
Ai Wong comedian 2017 Moontower comedy festival

Hot take: I don’t care for straight male comedians. It’s not that they’re not funny, they’re just … I don’t know, boring? Maybe that’s reductive of me, but I never seem to leave a straight male comedian’s set feeling particularly inspired. And though some may argue that it’s not important for a set to "inspire" its audience, I’d actually argue that the opposite is true. For me, I want to see a comedian use humor to address real issues and say real things about the world, even if they do it in a completely goofy way.

Therefore, I tend to prefer female and female-identified comedians. They’re sharp, tough, and have often seen shit that makes their comedy feel raw and true. Undoubtedly there are male comedians who do this, too, but to a much lesser degree, in my very humble and very personal opinion.

Read more
12 classic sci-fi books everyone should read
If you love science fiction and reading, these classic sci-fi novels are a must
Man reading a book and drinking coffee

It may feel like we were recently living in a science-fiction dystopia life -- and in some ways, we were -- but that doesn't mean that we should simply avoid an entire genre of writing. Hardly. In fact, this is probably the perfect time to explore classic sci-fi books, to see what the masters have written, and maybe even see if someone predicted anything like this. Many, though, simply ignore sci-fi wholly and completely because of an association with robots, aliens, and the like.

Long story short, if you think you don't like sci-fi, you have never read great books from the genre. But indeed, many such books abound, including a number that has delighted generations of readers going back well over 150 years. In fact, one of the best things about so many sci-fi books is their very timelessness. As by definition, this type of fiction breaks away from the norms of the everyday world -- whether slightly twisting things or taking place on entire other worlds -- the stories often feel as fresh and relevant today as when they were published decades ago.

Read more
The 7 best classic fantasy books to get lost in
Even adults can enjoy entering the fantasy world
Man reading a book

Using the term "fantasy" when it comes to fiction, we are admittedly casting a pretty wide net. After all, think about just how many shows and movies could technically be considered fantasy, too. If. we're talking about classic, canonical fantasy, though, the net shrinks considerably. If a book is to stand the test of time to be considered a classic -- regardless of genre -- it has to be damn good. At the risk of offending plenty of authors and fantasy fans both of yesteryear and today, most fantasy writing ... how should I put this? In a few decades, it won't be on some future writer's list of fantasy classics.

I say all that as an absolute fan of fantasy writing. From the Game of Thrones books, our era's Lord of the Rings, to the novels of Neil Gaiman, to the Twilight series (except not that), there is a plethora of great fantasy writing being produced today. But if you're looking to get into the genre or are already an aficionado with a few gaps in your reading list, classic fantasy novels are always a fine choice, as are classic mysteries, classic adventure books, and on it goes across every genre of literature.

Read more