Which debt should I pay off before applying?
Underwriters care about monthly payments, not balances — so paying off a small credit card with a big minimum often improves your approval more than the same dollars toward a car loan. This tool ranks your debts by payment freed per $1,000 paid off, the metric loan officers use to rescue marginal approvals. Bonus insider note: debts within about ten months of paid-off can sometimes be excluded entirely — ask before you spend a dime.
Debt payoff priority
If you can only pay off one debt before applying, which helps your approval most? Underwriters care about monthly payments, not balances — so the answer is often surprising.
The metric: monthly payment freed per $1,000 of payoff. Small balances with big minimums (hello, credit cards) usually win. Debts within ~10 months of paid-off can sometimes be excluded anyway — ask your lender before spending a dime.
Educational estimate, not a loan offer or financial advice. Rates, taxes, and program rules vary — a licensed professional can turn these ranges into real numbers for your situation.
Want a human to look at your numbers? BuyerMath is built by Gavin Guthrie of The Mortgage Collective — a free 15-minute "where do I stand?" call costs nothing and isn't a test you can fail.
Explore BuyerMath →