I technically dont do either. I am living with my fiances parents until january, and then Im going to live in the college dorms. My dad recently died and the will says that his house goes to me, but we havent put it in my name yet. I still use the mailing address there, tho, and I have alot of my stuff at the house. Should I say that I own it? What difference does it make? I dont want them to think that since I own a home that I can sell it to get money or anything.
2007-10-29 06:12:59 · 6 answers · asked by Anonymous in Business & Finance ➔ Credit
The reason I am getting a loan is to consolidate the debt I already have so that I can get it taken care of BEFORE I get married.
2007-10-29 06:24:57 · update #1
Home owners are seen by lenders as more responsible then people that rent.
Since it is your home, just not in your name yet you can say that you are a home owner.
The only bad thing is that if you default on your loan for any reason the lender can come after you in court and place a lien on your home.
2007-10-29 06:30:51 · answer #1 · answered by ? 7 · 3⤊ 0⤋
When will you take over the legal ownership of the home? Is it paid for or will you be taking over payments? Can you afford them?
Like Spiff says, it's going to impress them a lot more if you own a home. It gives you assets, shows responsibility, but also will indicate you have additional debts to factor into the decision.
But the biggest plus is that you can borrow off the equity, and your interest rates will be much lower. Plus the interest is tax deductable. So my recommendation would be to try and wait until you can get a home equity loan.
If you can't wait, be creative and try not to get tied into a large or long term loan. You can always roll it over to an equity loan later.
2007-10-29 15:53:06 · answer #2 · answered by Anonymous · 1⤊ 0⤋
The reason they ask you if you own or rent is because of the fact that if you own a house, they will give you more money. The banks will know that if need be, you can sell the house to pay them back, so they will lend you more. I can't remember the correct term for this (equity?), but that's basically what it is about.
2007-10-29 13:18:33 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Shifting your debt to another loan is not a good idea. People tend to run up those credit cards and then your just deeper in debt.
Instead of taking out a new loan, work on paying off what you have now. Make a strict budget. Eliminate all the extras -- cell phone, eating out, new clothes, etc. Put every penny you can squeeze out of that budget on the highest interest rate debt, while making minimum payments on the rest. When the highest is paid, move to the next till they are all paid off.
It should take you 2 or 3 years. But you'll be out of debt and have better finance management skills.
2007-10-29 13:49:54 · answer #4 · answered by bdancer222 7 · 0⤊ 3⤋
Why are you taking out a loan? Go to daveramsey.com and figure out a way through his program to not get into debt. This is NOT what you need if you are getting married!
2007-10-29 13:21:23 · answer #5 · answered by bevrossg 6 · 0⤊ 4⤋
you should say own because you can let them know that you know how to own
2007-10-30 09:28:18 · answer #6 · answered by dj j 1 · 0⤊ 0⤋