Can I buy a home?

Question

My credit score is not so great , but I pay fairly high rent anyway, so I'd like to buy instead of renting. Does a house really stand good for itself?

Answer 1

Depending on where you live and what the score is if below a 500 no one can help. and ive seen alot of people end up saving money over buying rather than renting and then its yours.im going to send you a link to a website that way you can see wat some of the more common programs are out there for new home buyers. just copy and paste

http://home.earthlink.net/~atv_guy_585/lowintrestratehomeloans/

Answer 2

possibly...there are so many different factors involved in getting a mortgage loan, and while credit score IS important, things like provable income, a good rental history, 2 years job history, assets, and the amount/type of debt you currently have will all play a part in the decision as well.

Something else you need to consider is whether or not you have a down payment? 100% financing is very common these days but you do typically have to have a higher credit score to qualify for 100% financing.

If you feel like you can meet most of the above requirements, the best thing for you to do is speak to a loan officer at a mortgage broker shop (call a few if the first one you call doesn't make you comfortable!) and once you find someone you trust, explain your full situation in detail and they should be able to tell you if you qualify with income, job time, assets/debt, etc WITHOUT pulling your credit!!! If all those things check out ok, let them pull credit and see what you can do.

Answer 3

Yes and no. The house has an appraised value of let's say $100,000, and that is the selling price. There are closing costs, usually around 5 or 6% in addition to this and the lender will probably require a down payment of at least 5%.

The seller might pay part or all of the closing costs and you might be able to finance more than 95% however this will increase your interest rate. The more you pay down, generally, the lower interest rate you can get.

Houses, usually appreciate in value at the rate of 3 to 5% per year. Along with this, however is maintenance and upkeep. If you plan to purchase a house it is an excellent idea to pay the 300 or 400 dollar fee to have it inspected. This may save you a lot of money in the near future.

Answer 4

Real estate generally appreciates over time, so yes, it's a great investment. First off, I recommend that you go into your bank and ask flat out, "How much can I borrow for a mortgage?" Make it clear that you don't actually want to APPLY for a mortgage yet (that can involve alot of paperwork), you just want to get a ballpark amount to go shopping for a place.

Let them run the numbers and give you an answer. What would a monthly mortgage payment be given that figure? Can you afford it, plus utitilies, repairs, taxes? If so, then determine how that figure compares to what your ideal home costs in your area.

A good rule of thumb is not to borrow more than six times your salary. This may mean you don't get your "dream home" in your first home, but it's best not to bite off more than you can chew. Best wishes!

Answer 5

The biggest question when buying a home is how your credit score will affect your loan rate. There's little doubt in today's economy that no matter how bad your credit, you'll find someone who is willing to give you a home loan. The question will be how much you'll have to pay for the loan, which in turn affects how much your mortgage payment will be. Rest assured, your credit score will not bar you from buying a home and you will not need a huge down payment either.

Answer 6

Depends on where you are and what you want to do. Real Estate is the number one investment. It is something that everyone should have. You can make your home work for you when you have the knowledge. Learn about equity and creative finance. This will help you once you get your home or to obtain a home. If you live in California, I'd be glad to speak with you over the phone or if you're in Los Angeles, I'll see you at the office. I teach and work with investors.

Answer 7

Don't forget that you have to check out the neighborhood carefully before you buy. find out the property values around you. Sometimes it's really hard to sell a house if you decide to move. My friend has had her house on the market since August and still no buyers and the one guy that wanted to buy backed out last minute! So make sure this house is going to be where you plan to live for an extended period of time.

Answer 8

if your credit is ot good, you can still buy a house. you will end up paying a higher interest rate. a home WILL be a good investment as long as you can aford it. a home will build equity so eventually when you sell it you will make money off it.

Answer 9

You can get a free analysis of what you qualify for by going to http://www.newprimehomeloans.com - you will have to call their 1-800 number to speak with a loan officer.

Answer 10

yay i got 2 points for this