Start planning now.
I put Mike less than 5 years ago. He was delinquent on property taxes, state taxes, and federal taxes. He had badly delinquent credit card debt. I had a mobile home in a park and so did he. He had a lot of credit card debt.
Within a year I was able to help you clear up your tax delinquencies and credit card delinquencies. I sold my mobile home (earning enough to recoup my investment) and moved into his. We started making some improvements to his mobile home and paying off my credit card debt. For less than a thousand dollars we put new carpet in the master bedroom and laminate flooring in the living room and kitchen. In 3 years we saved over $10,000, sold his mobile home for a profit, and bought a new home at a low rate of 7%. We have greatly improved your credit score.
Tips to increase your chances of getting a mortgage and improve your credit score.
1. If you’re planning to buy a home in the near future, don’t take out new loans or credit cards, especially a car loan. If you have a car loan with a high interest rate, you can refinance with another lender to lower your monthly payments and get a better rate.
2. Check your credit report and correct any discrepancies.
3. If you are delinquent with taxes or credit card companies, you may be able to make a deal to pay them less than they say you owe.
4. Consolidate credit cards and auto loans to lower your interest and finance charges.
5. Pay off small loans and zero out any balances you can. Once the debts are consolidated, pay a little more than the minimum on your credit cards each month.
Prioritize your monthly bills.
– invoices with late payment charges
– bills with higher finance charges
– monthly rent or mortgage
He wants to pay these first. Your phone bill, electric bill, cable, medical, gas are important, but only pay if you have enough to pay your priority bills first. If you’re a month late on a phone or electric bill, it won’t affect your credit score. Pay them only what you can afford and don’t get turned off. Always pay in full if you can make it as letting them get high will make it harder to pay in the coming months, but make sure you have enough for your priority bills. Do the same with medical bills.
If you currently have a mortgage that has a high interest rate or you are having trouble paying it, you may want to consider refinancing.
You can also use the equity in your home to pay off any debt that has high interest rates. Only do this if you really need it because consolidating this type of debt will pay it off over the next 15 to 30 years. First look at other options for lowering car payments and credit cards by refinancing through a bank or other finance company for a lower rate.
If you want to refinance and need to increase the equity in your home, here are some affordable home improvement tips that are cheap:
paint
Paint the walls and ceilings of the main rooms (living room, master bedroom and kitchen). Keep an eye out for paint sales. Home Depot often has sales of $5 off a gallon. They also have an Oops counter where an employee may have made a mistake doing paint for someone and didn’t want it. You can buy a gallon of paint for $5. Sometimes you can take a few gallons or a quart and mix colors together to get a better color or if the color is too dark for your liking add a bit of white to lighten it or another light color.
floor
Keep an eye out for special offers, you can get some cheap flats. Home Depot offers special offers with its credit cards that give you no payments and no interest for one year. Around here you can have 3 carpeted bedrooms for the price of carpet and $199 for installation.
Landscaping and outdoor decoration
1. Create a small garden or plant some shrubs
2. Add some landscape lighting
3. Wash the outside of the house
4. Paint the house or just the trim
There are many houses available for sale now and you can get your house at a much lower price at a much better price. Prepare now and you can really be ahead of the game in just a few years. Investing in real estate now will help you earn a profit in the future.