moving out, need help

**mciau** · 01-19-2008, 08:55 PM

I have read in a couple of books where it states that even if you are in a bad situation, you are able to buy a house. I have been thinking of moving and buying a house or a forclosure and I was wondering if it was a good idea to get a loan and rent a room in the house and gain $ to pay back the loan, I'm not sure if this is possible but I'm new to all of this and I was thinking about it. my credit isn't the best in the world and I'm not making enough money, so I want to know if anyone has any suggestions at all. I am hoping to receive my real estate licence and hoping to get in the business, but I need some advice to move out ASAP.

Thanks in advance

**krolfe** · 01-21-2008, 12:10 PM

The best advice would be to talk a loan office. Probably a couple so that you make sure you are comfortable with them. Find out how much you can qualify for and just make sure you do not over spend. Find something that you can afford by yourself so that if you can't find someone to rent the room to right away you aren't in over your head. Then apply whatever rent you get towards the principle if you are trying to pay down the loan. Another option would be to use that money to work on your credit and get a better loan. Good Luck!

**jwscpa5** · 01-22-2008, 09:18 AM

Definitely talk to the loan officer before moving further. It is always good to know what you qualify for before you start shopping around.

Good Luck,

**natreal** · 02-13-2008, 12:15 PM

1. find out how much your credit is going to be.
2. find out how much the rent of a room in the area where you are going to buy the house is going to be.
3. find out how easy it is to rent the room and, if your tenant leaves, how fast you can find another one.
4. if rent + other available income is more or less the same with what you are going to pay monthly for the bank loan, then go for it.
5. Beware of the interest rate: if it is a floating rate it could go up and put you out of budget!
Good luck!

**maat55** · 02-14-2008, 07:49 PM

It's always best to prequalify for a loan. Honestly, your nowhere near ready to buy a house. You should get on a tight budget, pay your bills on time and save money for a down payment & emergency fund. Owning a home is a huge responsability. Making good financial choices is very important. You have to plan and save and prepare.

**carlam** · 02-16-2008, 10:26 AM

I think you need to think this out a little more. Your credit score is the most important thing you have, work on fixing it first. Buying a house doesn't fix this, could just compound problems with it.

If you don't have enough money, a house can drain you. A renter is not the answer because banks don't count that when you apply for a loan.

Getting a real estate license doesn't mean you make money or a lot of it. It takes a good amount of money to get started in real estate.

Work on your credit score, talk with a bank or mortgage broker; they can help direct you on what work needs to be done on your score in order to get financing.

**clemy** · 02-16-2008, 04:02 PM

Those books you read, were they written in the last month or so? If not, you can't go by what you read. Mortgage lenders are tightening their standards. It's not as easy to get loans as it was a couple years ago when those books were probably written.