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can i even do this? plz help me:)

my husband and i are looking to buy a house and we are wanting to get a first time home owners loan...neither one of us have good credit..he has med bills and i just don't have credit at all! is it gonna be really hard for us to get a loan? has anyone else been in this situation?

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busymamma503

Asked by busymamma503 at 10:33 PM on Apr. 12, 2009 in Money & Work

Level 7 (176 Credits)
Answers (8)
  • (sigh) it is gonna be almost impossible honey, sorry. The market is so bad right now, and the recent buy outs have the banks to scared to risk it. Clean up your credit(get it to 600 at least) and save some money for a down pmt(thats a must right now too)...thanks to all the loans banks gave out to people who couldnt afford them, now people cannot even borrow on their own equity witout credit of 640(I am going thru it right now and this is what a dear friend in the industry told me)...good luck tjho and try to find something to rent that you can afford while savng and fixing credit...
    Bearsjen

    Answer by Bearsjen at 10:37 PM on Apr. 12, 2009

  • well we have a down payment to put of at least if not more...$7,000...we have that now! we do not own one credit card and everything we have we have bought with cash..we own 3 vehicles and bought them and took titles home! we just do not do anything on credit...the only thing we would go into debt for is a house. that's it! if we do not have the cash in the bank we do not buy it. that sucks:(
    busymamma503

    Answer by busymamma503 at 10:42 PM on Apr. 12, 2009

  • To build your credit, I would absolutely get a credit card. Get one and use it only for gas or groceries. But, when you pay the bill, YOU MUST make sure you pay it in FULL. This way, you can avoid paying any penalties or interest fees. So basically, never spend more than you can afford. I understand your need to buy things in cash and not have access to a credit card, but, having a solid credit history will really help you in the long run.
    joannakitler

    Answer by joannakitler at 11:22 PM on Apr. 12, 2009

  • Girl, there are places that specialize in your area. YOU CAN get a loan. I filed bankruptcy and was still able to get a home loan. You need to contact a Realtor and let them put you in touch with the right mortage loan place.
    Anonymous

    Answer by Anonymous at 11:26 PM on Apr. 12, 2009

  • Consider going to the bank or a credit union to get evaluated for a home loan. Better to KNOW. There is a federal tax break, and your state may also offer something (CA offers up to $10K over three years).

    Your current savings would be 30% of $35K....do homes go for that little where you are? It improves your chances if you've got 20% to put down.
    gdiamante

    Answer by gdiamante at 11:29 PM on Apr. 12, 2009

  • currently we are looking at a 5 bdrm 1 bth house. is perfect for what we need. we have to hve at least 4 bdrm. the one we are looking at they are asking 65k for but the realitor i talked to said we will not give that for it.
    busymamma503

    Answer by busymamma503 at 11:59 PM on Apr. 12, 2009

  • Before you get a credit card to build credit I would go talk to someone at the bank. The amount of money you are asking for is not outrageous for a house. You will never know until you try, go ask them what amount you qualify for!!
    ria7

    Answer by ria7 at 9:52 AM on Apr. 13, 2009

  • thank you ladies:)
    busymamma503

    Answer by busymamma503 at 10:17 AM on Apr. 13, 2009

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