starting the road to home ownership

[higher180]

I'm not planning on buying a house during my ch13, but I want to buy one with 3 to 5 years post-bk, is there any steps I could start at this point? should maybe I start saving a little towards a down payment?

[Moorlock21]

I'm not planning on buying a house during my ch13, but I want to buy one with 3 to 5 years post-bk, is there any steps I could start at this point? should maybe I start saving a little towards a down payment?

 

It certainly couldn't hurt! Saving for 3-5 years is a great idea...

 

 

Joe

[Operation_Home_Ownership]

When I first started to think about buying a home, I researched the added cost of a mortgage + taxes over my rent and put the difference aside first thing each month to get into the discipline of making the higher payments.

 

I saved whatever extra I could as unknown costs pop up for sure and constantly read up on where the best lenders/programs were.

 

Budget was tweaked a 100 times and over time I got REAL on what it took to maintain my desired lifestyle. Any credit issues [i didnt have anything major] I addressed to get my reports as 'clean' as possible. Raised scores by opening new credit & building CLs strategically reading the Credit Forum.

 

2003 made the decision to be wiser with $$, I found CB in 2005, discovered NACA reading Mortgage Forum 2008, asked tons of questions along the way, and now 2009 I couldnt be happier, $$ in the bank, and enjoying my home purchased with a wonderful deal.

 

So with that said...budget, save, improve, research, ask questions, decide, close, share with others.

[Rental Lease]

You might also consider having your spouse buy the real estate, if you have a spouse with reasonable credit.

 

The more you can put down, the easier it will be to get a loan, there's no question about it. Rebuilding your credit will take a little bit of time, but it's worth the effort, as the amount of house you can afford to buy is directly proportionate to the terms of the loan you can get. If you can afford $1000/month as a payment, that might buy you either an $75,000 house or a $115,000 house, depending on the terms of the loan (which are largely determined by your credit, income, and savings).

 

People tend to underestimate the value of strong credit; I recommend you work on improving yours and saving some money, and in no time you'll be able to buy a nice little piece of real estate for yourself, instead of having to pay someone else's mortgage by paying a lease agreement.

 

Best of luck with buying your first home!

 

Cheers,