I thought this article may be of interest as well...

http://debtnegotiationzone.com/category/credit-restoration-a…

Hey, I am in Charlotte NC and I will tell you that the market here never really suffered as it did in other markets. I just can tell you go to http://www.cbunited.com/kaymorrison you can search for free with no problems. I have sold in the last 4 months about 6 homes under 70k cash and the neighborhoods are definitly going up cause they are in hot demand due to the mortgage crisis. Call me if you want me to help you set up an "E" Agent.

If you plan on living in the home for a long time (20+ years), then paying cash is great. You may be able to make a down payment, and then invest the additional money in mutual funds. It may end up bringing you a better return on your investment in the long run. It's hard to say given that I don't know what offers you're getting from lenders.

Buying a home outright does nothing to your credit. Having debts that you pay off on time is what matters. That, and having a low debt to credit ratio.

Oh, and to raise your score, NEVER cancel an account. That just erases the score on that account.

Hello,

Just to add to the other responses you've already received, there may still be opportunities for you to qualify for a mortgage. Keep in mind that credit scores is not all that a mortgage lender considers. Some people have bad credit but that's because there's so many old, charged-off tradelines. Others have bad credit and that's due to medical bills, which by the way lenders don't count against you when qualifying. Nevertheless, your best bet is to discuss your options with a lender, preferably with one who does manual underwriting since their lending guidelines tend to be more flexible. I can refer you to one if you need it.

Also, you'll be surprised at the number of homes on the market within your $20-50k price range that won't require as much rehab as you think. I've actually shown & sold more than a few where all they needed was carpet & paint. So, before dishing out a huge chunk for renovations, I would encourage you to explore the vast amount of homes on the market in the price range. Also, keep in mind the FHA 203k loan that will finance the repair costs.

Hope this helps,

Fabiola Fleuranvil
South Owens Realty (Re/Max Marketplace)
(404) 437-0078
info@ATLHomeForSale.com

Take a look at the short video in the web reference about credit repair. You will be amazed at what can be done. Send me an email after viewing and we can get you started. Have a great day.

You may want to consider a debt negotiation program. You can save yourself a lot of money and get yourself out of debt quicker.

With a 570 I don't know if you would get a conventional loan. I'm not sure how a 50% down payment would affect the risk factor. If going FHA (they take other factors in consideration, not just score) you might be able to get a renovation loan. I don't think an all cash purchase would affect your credit score one way or the other. You really need to talk to a mortgage professional for most of your questions and a tax professional for a few. I have a great gut in the mortgage industry if you want to talk to someone to see what your options are. Just contact me and I will give you his info.

Prissy Dixon
Dixon Real Estate Group
Metro Brokers/GMAC
404-408-4941

Your current score is low but I know that Wells Fargo still manually underwrites FHA and other loans. That means that they can take other factors into account like assets and letters of explanation regarding credit history. My mortgage guys name is Marc D'Angelo 404-925-8291. He is an expert in the field and would be happy to guide you in the right direction. Having a mortgage will help boost your credit and allow easier access to mortgages in the future.

You can also write of your closing costs and deduct your yearly mortgage insurance on your taxes. Also, if you have not owned a home in the last 3 years the government is giving a $7500 tax credit (really an interest free loan) retroactive to April of 2008. Now is the time to buy!!

In terms of renovating a home you can also do a FHA 203K loan. They will finance up to 110% of the renovated value. Great option as you finance your renovations and use your existing cash as reserves. That also enables you to do 3% down. Keep in mind that come October 1st, 2008 the down payment for FHA goes up to 3.5%.

I am a foreclosure specialist on the buyer's side. I work all over the Atlanta area so if you have any questions please feel free to contact me at LisasListings@comcast.net. You can also search foreclosures on my website at http://www.LisasHomeListings.com and click on the 'foreclosure search' button on the home page.

Happy Searching and Good Luck to you!!

With your current credit score, you may be able to get an FHA loan. However, FHA requires property to be habitable (stove, sink, cabinets, working breaker box, no broken windows, and min 3 yrs left on life of roof - for example). Most homes in the price range you are talking about need more than $40k in renovations. Wouldn't it be wiser to pay more for the home in favor of one in better condition?

You will be able to write off (tax deduction) some of your closing costs, and the interest you pay on your mortgage annually. In the first 3 yrs of your mortgage most of your payment goes toward interest. If you wait until after Feb 2009, the gvt is also offering a $7,500 deduction for those who purhchase a home. My info is broad and I am not an expert, so you should contact a cpa for tax questions.

I would use cash for reserves and repairs. Yes, making regular mortgage payments will help increase your credit score. So by the time you sell you will expect to have great credit and equity to cash out - both of which will put you in a good position for your 2nd home.