Ok. Because I have made mistakes helping folks, I have got myself in a slump. I have a low credit score and I keep working to fix it but still have other bills. I do not use credit cards so everything I purchase comes out of my checking account. Yes it gets tight. I pay $1600 in rent, I make $100,000 annually and because I don't own a home Uncle Same hits me with $10,000 taxes owed for 2006. I keep saying I will buy once I straighten my credit but that might take awhile and in the mean time I am owing Uncle Sam. Please help I don't know what to do. Yes I am constantly trying to clean up the cred and keep bills up-to date. Any advice offered is much appreciated. All I know is if I don't buy a home, my owed taxes will get higher and higher. HELP AND THANKS!!!!
2007-01-24 02:46:18 · 9 answers · asked by deb 1 in Business & Finance ➔ Credit
You make $100,000 a year and only pay $1600 for rent and have no credit cards? And your struggling? You are doing something majorly wrong. Seek financial advice from an expert
2007-01-24 02:55:42 · answer #1 · answered by kiki 4 · 1⤊ 0⤋
You don't save that much on taxes from owning a home... you just get credited for the interest. Sounds more like maybe you should have more taken out of your wages or pay estimated tax so you don't get hit all at one time. But, buying a home is always a good choice. You can always find a lender, even with having a low credit score, but you are going to have high interest. They might always start you with an adjustable rate loan (which sucks) as rates can change drastically- which in turn affects your payment. But, I had to start that way once- then after a year or two, if you make timely payments and your score goes up (which paying on a home helps), you can always refinance with a fixed rate at a better interest rate.
2007-01-24 02:56:24 · answer #2 · answered by live75 3 · 0⤊ 0⤋
Talk to many home lenders, but watch out, some are lenders are like used car salesmen. If your credit rating is bad, the interest will be high, but you can work with this. Right now, its a buyers market, and there are not enough buyers. You may be able to arrange morgage initially at a high rate, but as you make regular payments, your interest rates will decrease over time. So ask about this and get it in writing. Buying a home will help on taxes, and the money saved can be put to principal, and by making regular payments, your credit score will improve. Using your debit card instead of credit cards is a great first step into improving your credit.
Talk to as many lenders as you can, it's worth your time.
2007-01-24 03:02:29 · answer #3 · answered by 8p8a 3 · 0⤊ 0⤋
Many years ago, I got into a conversation with a mortgage lending expert who told me some of the things that are looked at, when applying for a loan.
He told me that things like late car payments, credit card bills, etc., didn't factor as highly as whether or not you paid your rent on time.
That was an indicator to them as to how you would be about making mortgage payments. If you were consistent with your rent, you would be with the house payments as well.
Also, the size of the down payment.
If you make a very sizable down payment....that's equity in the home. Even if you screwed up and defaulted on the loan, and they had to repossess......they would still realize a nice profit from that equity. So they're more likely to extend a loan to you.
Your main problem may be interest rates. Find a place that would be willing to adjust your rate in the future, after you've proven yourself.
2007-01-24 03:09:26 · answer #4 · answered by Anonymous · 0⤊ 0⤋
If your income is steady that is a plus, continue to work on cleaning up your credit, get a copy of your report from all 3 agencies and dispute any errors. In the mean time check out Fannie Mae to see what programs they have that can help you..
2007-01-24 02:57:35 · answer #5 · answered by DaLab 2 · 0⤊ 0⤋
Definitely go buy something, even if it's a small place. Then you can have a write off. After you get on your feet, you can move up and buy a bigger place that has what you want.
2007-01-24 02:54:50 · answer #6 · answered by Anonymous · 0⤊ 0⤋
they are announcing if u supply such advise abt ghosts being there in homes....they're going to hang-out you. it type of feels you will bleed in sleep and that they're going to set u on hearth. So get waiting to die.
2016-11-01 04:08:53 · answer #7 · answered by Anonymous · 0⤊ 0⤋
Get 100% financing if you are a citizen and finance your house!
2007-01-24 02:50:41 · answer #8 · answered by TripleH_1999 2 · 0⤊ 0⤋
You might look for something that is owner financed.
2007-01-24 02:54:56 · answer #9 · answered by Scoots 5 · 0⤊ 0⤋