Tips on How to Improve Your Credit Score
Hey folks, it's time to get real about your credit score. If you're anything like me, you probably don't pay much attention to it until it's time to apply for a loan or credit card. But did you know that your credit score can make or break your ability to obtain a mortgage loan?
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When you apply for a mortgage loan, lenders take a close look at your credit score and credit history. They want to know if you're a responsible borrower who will pay back the loan on time and in full. A good credit score can help you qualify for a mortgage loan with a lower interest rate and better terms, while a poor credit score can make it more difficult to get approved and result in higher interest rates and less favorable terms.
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In short, your credit score is one of the most important factors that lenders consider when deciding whether to approve you for a mortgage loan. By taking steps to improve your credit score, you can increase your chances of getting approved for a loan with better terms and save yourself thousands of dollars in the process.
1. Check your credit report regularly
This is a no-brainer, but it's worth repeating. Make sure to check your credit report for any errors or fraudulent activity. You can get a free credit report from each of the three major credit bureaus every year, so take advantage of it.
2. Pay your bills on time
This one seems obvious, but it's worth emphasizing. Late payments can have a big impact on your credit score, so set up automatic payments or reminders to make sure you're always on time.
3. Lower your credit utilization ratio
Your credit utilization ratio is the amount of credit you're using compared to your credit limit. Aim to keep your utilization ratio under 30% to improve your score.
1. Check your credit report regularly
This is a no-brainer, but it's worth repeating. Make sure to check your credit report for any errors or fraudulent activity. You can get a free credit report from each of the three major credit bureaus every year, so take advantage of it.
2. Pay your bills
on time
This one seems obvious, but it's worth emphasizing. Late payments can have a big impact on your credit score, so set up automatic payments or reminders to make sure you're always on time.
3. Lower your credit utilization ratio
Your credit utilization ratio is the amount of credit you're using compared to your credit limit. Aim to keep your utilization ratio under 30% to improve your score.
4. Increase your credit limit
If you're struggling to keep your credit utilization ratio low, consider asking for a credit limit increase. Just make sure not to use the extra credit as an excuse to spend more.
5. Diversify your credit
Having a mix of credit types (like a credit card, auto loan, and mortgage) can improve your credit score. But don't open new accounts just to add diversity - only take on credit that you actually need and can handle responsibly.
4. Increase your
credit limit
If you're struggling to keep your credit utilization ratio low, consider asking for a credit limit increase. Just make sure not to use the extra credit as an excuse to spend more.
5. Diversify your credit
Having a mix of credit types (like a credit card, auto loan, and mortgage) can improve your credit score. But don't open new accounts just to add diversity - only take on credit that you actually need and can handle responsibly.
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š¢ What Is a Delaware Statutory Trust (DST) ā and Why 1031 Investors Use It to Defer Taxes & Scale Wealth š¼
š¢ What Is a Delaware Statutory Trust (DST) ā and Why 1031 Investors Use It to Defer Taxes & Scale Wealth š¼
š° Delaware Statutory Trust Explained: The Passive 1031 Strategy Smart Real Estate Investors Use š
What Is a Delaware Statutory Trust (DST) ā and How Is It Used by Real Estate Investors?
A Delaware Statutory Trust (DST) is a legal ownership structure that allows multiple investors to hold beneficial interests in institutional-grade real estateāwhile still qualifying as like-kind property under Section 1031 of the IRS tax code.
For real estate investors who want to defer capital gains taxes, reduce active management responsibilities, and maintain exposure to stabilized assets, DSTs have become one of the most powerfulāand misunderstoodātools in the 1031 exchange landscape.
As mortgage brokers and capital advisors, we frequently help investors evaluate when a DST makes sense versus traditional direct ownership, especially during tight timelines or market transitions.
How a DST Works
A DST owns one or more income-producing propertiesāsuch as:
Multifamily communities
Industrial and logistics facilities
Medical office buildings
Net-leased retail
Institutional mixed-use assets
Instead of owning the real estate directly, investors purchase beneficial interests in the trust. These interests are treated as real property for 1031 purposes, allowing investors to:
Sell a relinquished property
Defer capital gains and depreciation recapture
Reinvest proceeds into a DST within IRS timelines
Each DST is professionally managed and structured with non-recourse financing already in place.
Why Real Estate Investors Use DSTs
DSTs are commonly used by investors who want:
ā 1031 Exchange Compliance
DST interests qualify as like-kind replacement property under IRS guidance.
ā Passive Ownership
No tenants, toilets, or midnight calls. Asset management is handled by institutional sponsors.
ā Fractional Ownership
Invest in large properties with smaller allocationsāoften starting around $100,000.
ā Portfolio Diversification
Spread exchange proceeds across multiple asset types, markets, or sponsors.
ā Predictable Cash Flow
Many DSTs offer stable, monthly or quarterly income distributions.
DSTs and Financing: What Investors Need to Know
One of the most important advantages of DSTs is pre-structured financing.
Loans are non-recourse
Interest rates and terms are locked in
Investors are not personally liable
No underwriting of individual investors is required
From a mortgage advisory standpoint, this is critical for investors who:
Want to avoid new loan qualification
Are retiring or reducing active involvement
Are exiting highly leveraged properties
Need certainty during a 1031 timeline
DSTs remove financing risk from the exchange process.
When a DST Makes Sense
DSTs are particularly effective when:
A 1031 exchange deadline is approaching
The investor wants passive income
Replacement properties are overpriced or scarce
The investor is downsizing management responsibilities
Estate planning and succession are priorities
They are also commonly used as a temporary or permanent solutionāsome investors later exchange out of DSTs into direct ownership when markets shift.
Potential Trade-Offs to Understand
DSTs are not for everyone. Key considerations include:
Limited control over operations
Illiquidity during the holding period
Fixed business plans set by the sponsor
Suitability requirements for investors
This is why DSTs should be evaluated as part of a broader capital strategy, not as a standalone product.
How Medallion Funds Helps Investors Use DSTs Strategically
At Medallion Funds, we donāt sell productsāwe structure outcomes.
We help investors:
Coordinate DSTs within 1031 exchanges
Compare DSTs vs. direct acquisitions
Evaluate sponsor quality and debt terms
Align passive strategies with long-term goals
Integrate DSTs into broader real estate and lending plans
The right DST can protect equity, preserve income, and buy timeāwhen used intentionally.
Final Thought
A Delaware Statutory Trust is not about giving up controlāitās about strategic flexibility.
For investors navigating tax exposure, market volatility, or life transitions, DSTs remain one of the most effective tools available when paired with the right capital advisor.
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Ā© 2023-2024 Bill Rapp, Medallion Funds LLC, Director of Capital Advisory
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Refinancing youe loan and when to do it
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Copyright Ā©2021 | Mortgage Viking Team
Licensed to Do Business | NMLS # 228246
This is not an offer to enter into an agreement. Not all customers will qualify. Information, rates and programs are subject to change without notice. All products are subject to credit and property approval. Other restrictions and limitations may apply. Copyright Ā© 2021 | Medallion Funds
Corporate | NMLS ID NMLS # 1825831
Corporate Address : 2651 N. Green Valley Pkwy STE. 101 Henderson, NV 89014
Corporate NMLS NMLS # 1825831 | Company Website: https://medallionfunds.com/bill-rapp/
Copyright Ā©2021 | Mortgage Viking Team Licensed to Do Business | NMLS # 228246
This is not an offer to enter into an agreement. Not all customers will qualify. Information, rates and programs are subject to change without notice. All products are subject to credit and property approval. Other restrictions and limitations may apply
Corporate | NMLS ID NMLS # 1825831
Corporate Address : 2651 N. Green Valley Pkwy STE. 101 Henderson, NV 89014 https://medallionfunds.com/bill-rapp/