Improving your credit is certainly important as it can lead to a better interest rate. However, Why not focus on making a "good deal" purchase right now? If property values go up, you win. If property values happen to go down, if you got a "good deal" then you already purchased at a discount so that the reduction doesn't hurt you. In other words, you made the purchase with a discount already. If your credit is better, and you get a little better interest rate, that could get you a better rate now. If you buy at a higher interest rate now, it is possible you can later refinance at a better rate. This, of course, depends on a lot of things. For example, if your credit score takes a hit for whatever reason, that could become a problem on getting a better rate. Focus on finding a "GOOD DEAL" in order to come out ahead. All the money you are paying on rent should be redirected into home ownership sooner rather than later.