As we gear up for 2025, many aspiring homeowners are setting their sights on buying their first property. But before you start house hunting, it’s key that you build a strong credit score so you can unlock better mortgage rates. 

To help aspiring first-time buyers, mortgage broker Mojo Mortgages has shared 25 tips to boost your credit score if you plan on buying a house in 2025. 

Check your current credit profile

1.         Monitor your credit report regularly

Make it a habit to check your credit report at least once every few months. This allows you to spot potential issues early, such as unauthorised accounts or sudden changes in your score. Review your credit report for mistakes—such as misspelt names or incorrect addresses.

2.               Report any errors 

Don’t let these errors drag down your score! If something doesn’t look right, reach out to the lender or credit agency to rectify any mistakes.

3.               Keep old accounts open

When reviewing your credit report, you may be tempted to close old accounts—but don’t! The length of your credit history matters. Keep old accounts open, especially those with long histories, as they positively contribute to your overall score.

4.              Register on the electoral roll

Over 7.6 million people in the UK are missing from the electoral roll. By taking just two minutes to register, you could improve your credit score by up to 50 points (according to Experian), potentially unlocking better mortgage deals and saving you thousands in the long run.

5.               Sign up for free credit score services 

Many credit monitoring services offer free alerts for changes in your credit score, so you can stay on top of your credit health without any extra cost.

Make your credit profile more mortgage-friendly 

6.              Be cautious with new credit applications 

In the six months leading up to applying for a mortgage, limit new credit applications. Each application can result in a hard inquiry on your credit report, potentially lowering your score by 5-10 points. Multiple requests in a short period can raise red flags for lenders.

7.              Tackle high-interest debts first

If you have multiple forms of debt, focus on paying off debts with the highest interest rates first as you’ll save on interest fees and pay off your debts quicker. 

8.              Aim to live at the same address for 3+ years 

While this isn’t always possible for everyone, lenders appreciate stability. Living at one address for three or more years demonstrates stable living circumstances.

9.              Avoid changing jobs in the run-up to your mortgage 

Lenders also appreciate job stability so avoid changing jobs in the six months leading up to a mortgage. This helps assure lenders that you won’t lose your job - should you not pass your probation - and that you will be able to keep up with your mortgage payments. 

10.           Keep your old credit card open

If you have two credit cards, keep the older one open until after completing your mortgage application; long-term relationships positively impact your score.

Strengthen your financial relationships 

11.             Disassociate from past financial ties

If you’ve previously shared finances with someone else, request a notice of disassociation from credit reference agencies so their history doesn’t affect yours.

12.            Keep finances separate from less creditworthy individuals

If your partner or flatmate has a poor credit score or spending habits, maintain separate finances to protect your credit history.

13.            Be wary of scams

Identity theft can devastate your credit score in moments. Use strong, unique passwords for all your accounts and be extra cautious when receiving unsolicited emails or letters regarding money.

Use your bills to boost your credit score

14.           Be responsible for at least one household bill

If you live with friends or family, ensure at least one utility bill is in your name—this demonstrates reliability in managing payments.

15.            Report your rent payments

Use services like Experian's Rental Exchange or platforms like Canopy and CreditLadder to report rent payments, showcasing a consistent payment history that boosts your score.

16.            Set up automatic payments for your bills

Automating your bill payments ensures you never miss a due date. Late payments can significantly damage your credit score, so setting up automatic payments for at least the minimum amount can help you maintain a consistent payment history.

17.            Or set up payment reminders

If you prefer not to automate payments, set up reminders on your phone or calendar to ensure you pay your bills on time. This simple step can help you avoid late payments that negatively impact your score.

18.            Pay for your insurance monthly instead of up front  

When you pay for your car or home insurance monthly, the insurer effectively loans you the annual premium, which you repay with interest each month. This counts as credit, so timely payments can improve your credit score. However, it is worth keeping in mind that it will be more expensive than paying the full premium upfront so you should compare the cost of both options to determine whether it’s the right choice for you. 

Use the correct credit methods 

19.             Stay below 30% credit utilisation

If you’re tempted to overspend this Christmas, don’t. Aim to use less than 30% of your available credit limit. For instance, if your total limit is £1,000, keep your balance under £333. This shows lenders that you’re not overly reliant on credit. 

20.          Pay more than the minimum amount on your credit card

When paying off credit cards, aim to pay more than the minimum due. This not only reduces interest costs but also shows you have responsible financial behaviour.

21.            Never withdraw cash on a credit card

Credit cards aren’t supposed to be used to withdraw cash, therefore, doing so often comes with high fees and interest rates that can negatively affect your credit score. 

22.           Diversity your type of credit

A mix of different types of credit (like loans and credit cards) shows lenders that you can handle various forms of borrowing responsibly. Do, however, make sure that you make all of your payments on time and never spend more than you can afford.

23.            Avoid payday loans at all costs

These loans often come with exorbitant interest rates and can signal financial desperation to lenders, damaging your credit rating.

24.           Become an authorised user strategically

If a family member or trusted friend has an excellent credit history, ask if they'd be willing to add you as an authorised user on their credit card. Their positive credit history could help boost your score, but ensure they have a long-standing record of responsible credit use.

25.           Consider a secured credit card or credit-building loan

If the above isn’t an option and you have a limited credit history, a secured credit card can be a great way to start building credit. These cards require a cash deposit that becomes your credit limit, reducing the risk for lenders while helping you establish a positive credit history.

John Fraser-Tucker, Head of Mortgages of Mojo Mortgages said: "While there's no set minimum credit score needed to buy a house in the UK, a strong credit score can significantly improve your chances of securing a better mortgage. By following these tips consistently, first-time buyers can improve their financial standing and increase their likelihood of stepping onto the property ladder in 2025. 

“Remember, it's not just about the score – lenders consider various factors, including your income, employment stability, and deposit size. Start working on your credit profile now, and you'll be in a much stronger position when it's time to apply for your mortgage."

Mortgage Broker - UK's #1 Fee-Free Online Mortgage Broker | Mojo