2006-09-18 11:34:15 · 7 answers · asked by Anonymous in Business & Finance ➔ Credit
I'm assuming that if your credit is bad, you probably aren't in a financial position to buy a home. I may be wrong, but if you do not have sufficient assets, now is not the right time to buy a home.
Another issue is that you'll end up with a much higher interest rate on your mortgage with bad credit than you would if you waited until your score goes up.
It's not worth rushing into a big purchase. Especially with bad credit because you're basically throwing money away. Instead of dreaming about that new home, order a free credit report, work on your credit, and put money aside for assets. Once you have prepared and everything is in place, start looking for property in your price range.
2006-09-18 11:48:28 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Pay off all judgments and collections. Then you should get some money down (at least $1000, which can be from an IRA or 401k if you're a 1st time homebuyer) and find a cheaper house to prove to lenders that you can afford it. When you get the mortgage, pay it FIRST...before vacations, utilities, car payments, etc. The house ALWAYS comes first, even if you have to get a 2nd job to pay for the house.
If you're a marginal buyer and the 1st home gets foreclosed on, it'll be many years before anyone would give you another chance.
2006-09-18 12:35:02 · answer #2 · answered by Dwight D J 5 · 0⤊ 0⤋
It's going to be tough. My wife and I started out with my 560 and multiple promises from mortgage places that they could get us into a home. And they could in a low cost home not what we were looking for...so we searched for answers through mycreditadvise.com and found some tips on how to manage our money and raise my credit score and 1 1/2 year later we have our nice home and I have a 720 score.
Good Luck
2006-09-18 14:17:41 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Pay off your debt, get your fico score up and then buy a house. If your debts are paid, work on getting your fico score up by following the tips found here http://finance-girl.blogspot.com/2006/09/raising-your-credit-score-who-doesnt.html and at the same time sock away money to bulk up your down payment..
2006-09-18 15:22:20 · answer #4 · answered by Anonymous · 0⤊ 0⤋
It will never happen SORRY!!!! Try to save some money first and pay your bills and Credit Cards on time to achieve some good credit.
2006-09-18 11:39:31 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Save your money.. and make better judgements with your credit..
2006-09-18 11:36:05 · answer #6 · answered by limgrn_maria 4 · 0⤊ 0⤋
look for assistance here http://www.wesayes.com
2006-09-19 03:48:43 · answer #7 · answered by Anonymous · 0⤊ 0⤋