Posted on: 24th Jun, 2012 02:33 pm
My wife and I are thinking about moving out of her parents house to an apartment. However, people have been telling us to stay until we have the money for our house.
Here is our financial situation. I currently make about $34,000 a year and she makes $33,000 ($30,000) after insurance. We just paid off our cars and currently only pay all the utilities in the home and food. We have saved up $20,000 this last year and with the recent pay off of both cars we have about $2800.00 left every month after bills, food, basically everything. We would be looking at a house of about 180,000 which is great for the area we live in.
I'm currently working towards my degree in Accounting full scholarship. She is working towards a nurse degree. We have thought that its time to be on our own and independent (I'm 26 she is 29 and have never been on our own)
The credit is our down fall I'm in the 580s and she is in the 650. We made some horrible decisions when we were younger. Most of the charge offs and judgements fall off our reports in December and May of next year. Our scores have gone up since we open up a few secured cards and have been making payments on time. I'm sure I can save up another $25,000 by next year May. Do you guys think we can fix our credit enough by then or should we rent while we repair our credit?
I'm so tired of people asking you live with her parents.
P.S with the apartment the most we would save is about $1400.00 a month.
Here is our financial situation. I currently make about $34,000 a year and she makes $33,000 ($30,000) after insurance. We just paid off our cars and currently only pay all the utilities in the home and food. We have saved up $20,000 this last year and with the recent pay off of both cars we have about $2800.00 left every month after bills, food, basically everything. We would be looking at a house of about 180,000 which is great for the area we live in.
I'm currently working towards my degree in Accounting full scholarship. She is working towards a nurse degree. We have thought that its time to be on our own and independent (I'm 26 she is 29 and have never been on our own)
The credit is our down fall I'm in the 580s and she is in the 650. We made some horrible decisions when we were younger. Most of the charge offs and judgements fall off our reports in December and May of next year. Our scores have gone up since we open up a few secured cards and have been making payments on time. I'm sure I can save up another $25,000 by next year May. Do you guys think we can fix our credit enough by then or should we rent while we repair our credit?
I'm so tired of people asking you live with her parents.
P.S with the apartment the most we would save is about $1400.00 a month.
Hi catlinjuarez,
It will be better if you could fix up your credit and then apply for a loan. With a credit score of 580, it will be quite difficult for you to qualify for any kind of loan. With a credit score of 650, she may qualify for a FHA loan. So, I personally believe that it will be better to improve your scores and then apply for a mortgage.
Thanks
It will be better if you could fix up your credit and then apply for a loan. With a credit score of 580, it will be quite difficult for you to qualify for any kind of loan. With a credit score of 650, she may qualify for a FHA loan. So, I personally believe that it will be better to improve your scores and then apply for a mortgage.
Thanks
If you have old delinquencies, then you would want to resolve them. Offer them the pay for delete from your credit report. If you do have credit cards, keep using them, but keep your balance at all times under 40% of the balance. Get another secured credit card or be added on as authorized user for your parents account. If you can get to a 620, then you should have no problem getting a home loan. Even FHA you can go to a 500 fico but hard to find lenders who will lend on a 500 fico. 580 you may find a few lenders. Your best option is to shop around and see what the numbers are and go from there.
