OfflineOk I'm brand new to all of this.
This thread looks like the best place to ask the two basic Questions I have.
I was searching on CL, FHA, and HUD, and found some great deals. Then I got stopped in my tracks. because of credit problems. For one I don't have credit cards. Not even a debit card. I am on disability. So I have very little income. but enough to get a 30,000 dollar loan with "Good Credit" (620) or higher.
However when I checked into my credit score. I could not get one. It came back as "not enough information" I did notice that there were two things on there that went to collections, both were medical. One got paid last month from a program that I qualified for from the hospital. The second I had no Idea it was even there and is 5 years old. going back to when I was waiting Social Security to kick in. I was on Medicaid at the time and everything should have been covered under that.
As far as my rent I have been living in the same house going on four years. I have never been late on rent in that time. My bills I stay up with for the most part, No shut off notice. But I have gone past the dew date in the winter a few times.
One of the Realtor's I talked to suggested getting a secured credit card and pay my monthly bills using that.
Question # 1)
Realistically how long will it take to get a credit score of 620 or higher that way?
Situation # 2)
I want to move from where I am. I live in a small town in Western NC. there is nothing here for me to do. My son is going off to collage this fall and I have no reason to stay here. Plus the deals are better where I want to move to. About Two hours east.
Will moving now affect me getting a loan when I do get a good score?
Welcome aboard this life changing eperience. The first thing you should do is a written dispute of the charges. If they should have been covered under medicaid, contact them with the bill info. They will request the doctor to resubmit the bill to be paid or tell you if it has already been paid. If so get a copy and send it in with your dispute claim. From what I have been told, starting out with a small dept credit card will help establish crdit or the secred credit cards. Just be careful not to go over board with debt because when applying for a mortgage they will base it on your income to debt ratio. Hope this helps. Much sccess to you.............Lubertha
"GOD IS STILL IN CHARGE, HE IS THE AIR WE BREATHE"
I plan to pay the cards off each month using the money I would have used to pay the bills with anyway.
Will moving before I get my first loan for my first house be a problem be a problem with the banks?
Or should I just stay put and wait for things to fall into place. I am somewhat thinking about bird dogging to get started. Put some money in the bank, and getting my feet wet in the area I want to live in. when I get into investing.
Where I am now there is very little to work with. Lots of Investors, very few deals available.
If your moving is going to cause an increase in expenses then I would say yes that moving will cause a problem. It all determines how much you are looking to borrow. What are the option to purchase the home your in as an investment, since you have been there for a while. Will the owner hold the note? Then you can sell to the other investor's to gain capitol without having to borrow? just an idea. Much success to you.....Lubetha
"GOD IS STILL IN CHARGE, HE IS THE AIR WE BREATHE"
Ok I want to buy within 30 days. I found several that would work for me in the 35K to 50K range. All I want right now to start is "one" One I can live in fix up and then go from there.
My problem is I don't have Credit,, Or should I say a score. Nor do I have much to put down. So I can't find a bank that will loan to me. I did find someone that could build me credit, (in three months but that would cost (1,200$). Not to mention every thing I have to live on for three months.
Ok so I found Alternitive Credit score loans with USDA they can use last years rent and bills to come up with a score. Great I have an exelant history with my bills.
The only problem there is they only do loans over 75K I can't afford that for my first deal. Untill I get settled and know what I am doing I need to keep my payments under 350. per month.
Stay as far away from that person! You Do Not I repeat Do Not have to put out a layout of cash or payment to anyone as this person is stating in order for you to establish your credit. You can do this yourself! You can go get a credit card (secured or unsecured) from where you bank at to begin estimating your credit so that in a few months time you'll actually have a credit score for creditors to go by. Don't go all willy neely and appling for several credit cards at once. Just apply for credit card e.g. Home Depot that will be useful to you as you get started in REI.
Stick with what you know you can afford on payments (PITI) when shopping for home loan. You'll have to factor in other expensives i.e. electrical and/or gas,water/sewer, so on to make sure your monthly income will cover all these things expenses of maintaining that home and allow for you alittle cushion to do other things as you go about fixing up the place that you do eventually get. HTH.
My problem is I don't have Credit,, Or should I say a score. Nor do I have much to put down. So I can't find a bank that will loan to me. I did find someone that could build me credit, (in three months but that would cost (1,200$). Not to mention every thing I have to live on for three months.
Ok so I found Alternitive Credit score loans with USDA they can use last years rent and bills to come up with a score. Great I have an exelant history with my bills.
The only problem there is they only do loans over 75K I can't afford that for my first deal. Untill I get settled and know what I am doing I need to keep my payments under 350. per month.
"I will NOT BE BROKE! ANYMORE!"
In the name of Allah, the Beneficent,
the Merciful.
22.He is Allah besides Whom there is no God: The Knower of the unseen and the seen; He is the Beneficent, the Merciful.
23. He is Allah besides Whom there is no God: the King, the Holy, the Author of Peace,the Granter of Security, Guardian over all, the Mighty, the Supreme, the Possessor of greatness. Glory be to Allah from that which they set up (with Him)!
24. He is Allah: the Creator, the Maker, the Fashioner: His are the most beautiful names. Whatever is in the heavens and the earth declares His glory: and He is the Mighty, the Wise.
The past three + years I have been paying 450 in rent, (On Time). As well as my, lights, gas, phone, water/sewer. So If I can stay under 350 a month I will be fine.
I might even rent out a room. But I don't have to.
I agree on the "credit repair" offer. You do not ever want to pay someone that claims they can rebuild your credit. There are very reasonable steps you can take to establish, build credit on your own.
You can go to myfico.com & gain a wealth of information on establishing and improving your credit. You can see impressive improvement in as little as 6 months if you know what to do & not to do w/ your credit.
Check out; http://www.myfico.com/CreditEducation/
Wishing you the best,
Robbie
Joshua 1: 8-9
"Study this Book of Instruction continually. Meditate on it day and night so you will be sure to obey everything written in it. Only then will you prosper and succeed in all you do. This is my command—be strong and courageous! Do not be afraid or discouraged. For the Lord your God is with you wherever you go.”
Only stating go with the loan that you know you can afford. You can get the down payment (usually 3-10% of loan value) from family, friends or seller (credit you a portion of their proceeds) as a gift to you to help that issue.
I might even rent out a room. But I don't have to.
"I will NOT BE BROKE! ANYMORE!"
In the name of Allah, the Beneficent,
the Merciful.
22.He is Allah besides Whom there is no God: The Knower of the unseen and the seen; He is the Beneficent, the Merciful.
23. He is Allah besides Whom there is no God: the King, the Holy, the Author of Peace,the Granter of Security, Guardian over all, the Mighty, the Supreme, the Possessor of greatness. Glory be to Allah from that which they set up (with Him)!
24. He is Allah: the Creator, the Maker, the Fashioner: His are the most beautiful names. Whatever is in the heavens and the earth declares His glory: and He is the Mighty, the Wise.
Hi MikeL57,
Glad to see your still moving forward! Can any of the owners hold the mortgage for you? For 1200 dollars you can build your own credit. Start out with small dept. store credit cards or get a secured card from your bank. And build your credit yourself. I would go the route of getting the owner to hold the notes or do assignment offers to start. Continued success to you always.........Lubertha
"GOD IS STILL IN CHARGE, HE IS THE AIR WE BREATHE"
Good Idea Lubertha!
See if they can do Owner financing... you can probably talk out a deal to where your rent now would be the payment for the house.
Again, don't pay for credit adjustments when you can do it yourself... for that 5 year debt, I would just put in a dispute action against it... assuming you didn't pay anything on it, it would probably just disappear. If you did pay anything on it, that's basically you admitting it is your debt. (Nothing you can do about that)
If the seller is really motivated to sell, get them to owner finance you. Find there magic buttons and start talkin!! Not too hard to tell a seller what they want to hear when you know what that is... YOU CAN DO IT!!!! Whats the worst that can happen, they say no??? GREAT!!!!!! That's not a motivated seller so you won't make much of a profit from that anyways!!!!!!!! On to the next yes...
ONE STEP CLOSER TO YOUR DESTINATION!!!!
Knowledge is Power
- Pimpedoutgeese
Allow your fear to gently pass. Then genuinely ask yourself,
“What needs to be done?”
I was all set to stick it out for a while till I built some credit. Again I want to explane that I am not Rebuilding credit. I am establishing credit.
But anyway I saw this house come on the market last friday. A HUD repo.
asking price 45000,, Built in 2003,,, and the tax value is 115,000,,, I loved the house but thought it was out of my range.
Well yesterday I got an email from the agent I have been working with. he included a link to that house along with two others. not quite as nice but would work fine for me.
He also included a phone number for a banker that he works with. So I called the banker and explained that I had an exelant history paying my bills and rent.
But, I did not have credit. Not as far as a FICA score. she is still checking on a few things,,, but She thinks that she can qualify me with an alternitive credit report.
So never give up.
You see when you keep hope in heart. The will finds a way! So happy for you Mike! Keep positive.........Lubertha
"GOD IS STILL IN CHARGE, HE IS THE AIR WE BREATHE"