Does it make sense to purchase a home to reduce debt?
gjonesgrad asked:
I have poor credit and debt. I am barely getting from payday to payday. Should I use my VA loan eligibility to purchase an affordable home, and consolidate my debt with a home equity loan?
I have poor credit and debt. I am barely getting from payday to payday. Should I use my VA loan eligibility to purchase an affordable home, and consolidate my debt with a home equity loan?
February 13th, 2009 at 9:28 am
Home equity loans are only offered to people who have “equity” in their home (ie…. people who owe less on a property they own than the property is worth.) So you will not likely have any equity years after you buy a home!
If you are barely getting by, it is unlikely you would qualify for a mortgage…
Move to a cheaper home. Make a budget. Sell some stuff. Get a cheaper car. Get a second job. Cut your expenses.
Do all this for three years. Get out of debt.
Living this way will become a habit rather than a chore. Then you will get rich…
Most “rich” people do not look rich. The vast majority of people living in fancy houses and driving nice cars are POOR and will leave their children nothing but liabilities….
Best wishes…
February 15th, 2009 at 2:53 am
No Nope Never.
you will be homeless and deeper in debt within 5 yrs.
you need to increase your income, go to school. you need to learn to manage your money, not be a slave to it.
visit daveramsey.com you got a lot to learn before you get cremated .
read ‘48 days to work you love’ ‘what colour is your parachute’ then act on the info. get 2more jobs until you find out what you want to do in life. poverty suc.ks.
a house will be = to an anchor around you neck to drown you. they are expensive more so than the realtor and bankers will tell (lie) you.
do you homework b4 signing.