success with first time no money down with bad credit

[katie]

Someone please help me.  I am a very determined person.  I purchased this course for $9.95 for 30 days and only have about 2 weeks left before starting payments that I dont have.  I have read about half so far.  I am scared because I still dont see how to get a loan w/ only $2000 a month income bad credit no child support and 3 kids my options have become limited.  I know that anything is possible, I just need a shove in the right direction.  I have never bought a house so I should be able to do first time home buyers?  I am also a self employed cosmetologist.  Please send me a repply ASAP  

[xxemoxx]

there are alot of brokers lately willing to do 100% stated income loans depending on whom you speak with.  I would reccomend you find one of these leanders and speak with them about the entire situtation i am sure someone can help you out pending a decent credit score.

[culaslucas]

you should also realize that there are options that allow you to CONTROL a property without OWNING it.  You can assign a contract, do a double closing, utilizing purchase options.  Look into these things a little more and you will realize there are more ways than just the traditional Buy and Hold strategy.

[aak5454]

Buy a principle residence and live there with your kids and focus on improving cosmetology biz and improve you credit score.  

[culaslucas]

Buy a principle residence and live there with your kids and focus on improving cosmetology biz and improve you credit score.  

Buying your first house would be the start, but you don't have to build up your credit score to do well in Real Estate!  You're probably looking at real estate because you don't have the money currently to pay all of your bills comfortably and that's why you have bad credit.  Do some bird-dogging, John Locke has an e-book about it - granted it is $48 I believe but well worth it.  Do some subject to's, find some good deals and assign the contract.  You don't need ANY credit to do these things.  Bird-dogging usually only costs what you put in for phone time and gas for driving around.

[aak5454]

Doing so bird-dogging to get some experience is not a bad idea and you will see if you really like RE.

My point is the following:  1) you are currently paying someelse (an investor, no doubt) mortgage on wherever you rent  2) you got kids and you your own biz; both time consuming so time is precious 3) your credit is bad becuase of things that happened in the past.  While lack on money certainly is aproblem some of those problems probably could have been headed off by catching them early and attention to detail (not a judgement; just an opinion).  My point is (in my opinion) getting on top of things, being organized and follow thru  are key in doing well in real estate.  With that said, some money in the bank helps too.

I've been doing this 10 years (not full-time) and I'm a firm beliver in take it slow, learn, gain experience and build up.  I'm sure plenty of people will diagree with that philsophy, but I beleive the chances for success are much higher that way.

[niravmd]

you could also learn about sandwich lease-options.
you basically find a motivated seller and get a house on a lease-option. then u find someone with bad credit but some
money to put down on a house. he's your tenant-buyer.
you pay seller a monthly lease amount of say x.
your tenant-buyers pays you rent of x+ say 200, plus
hopefully 3% of purchase price of house. eventually u sell the
house to tenant-buyer and make a decent spread.
this is a very very simplified version, but i suggest trying to
read up in this technique. one good book is by conti and finkle and should be in your local library. [its in mine!]

[Lonster]

Katie,

Your initial post was a little unclear. Take a deep breath, relax, and let us know the details of your situation and what it is that you are trying to accomplish.
There are some very generous and knowledgable people here that will sincerely help you and point you in the right direction.

[telarsen]

Katie,
Call HUD or find out who the HUD foreclosure selling agency is in your area. HUD foreclosures go to investor's first before they are available to investor's. You could usually buy something at 50% of market value but that needs work.

Then place an ad, "First time home buyer willing to pay 11% interest to first mortgagee investor at 70% loan-to-value, on my after repaired valued HUD home!" (or something like that).

Example, you find a house in a $100k neighborhood, can buy for $50k but needs some work. Private lender then lends you $70k based on an after repaired apprasial, you now have $20k to fix and repair this property! (Just make sure you fix the house and not buy furniture with it!)

This would be a win-win for you and the investor.

Good luck!

[xxemoxx]

WOW tom, i just noticed your post, where would be a good place to run this type of ad?  i know i am not katie, but i have a few hud homes in my area that need repair and would be perfect for me i just never thought about seeking an outside investor on the project.
Please help me out

Thanx

Matt

[telarsen]

Matt,
My post should have read that the HUD HOMES GO TO OWNER OCCUPANTS first before investor's could buy them. In her case, she needed a home AND a real estate investment. If that is your case too, go for it!

You have the first shot before any investor's could even bid!
This would be a great oportunity for someone who did not own property yet.

Plus, what good financial person would not want to earn 11% on their money! What does a CD pay 2.5%? This is a win-win for both parties involved.

Good luck!

[Las Vegas Real Estate]

Katie, you simply must own the home you live in. This is paramount. I see so many people hold off buying because they can't afford the home of their dreams. They wait awhile to save up for a larger down payment instead off comprising their demanding expectation. In the time they used to save up they could have saved and accumualted equity.  

[Mohegan]

Katie thats a great idea.. Brainstorm with us what else do ya know  ? The problem getting the loan from 1st morgagee.. hmm. would have to look @.. u think an ad like that would get lots of response.. How often can u actually get a hud foreclosure for 50 % ? ..  Ill call..

[telarsen]

A HUD home in my area (Buffalo, NY) was listed at $21,000.....3 bedroom, 1 bath SFH, hardwood floors throughout, needed interior and exterior paint, that's all!

Sold for $24,000 to an owner occupant and the area's value for this type of home is $65k to $75k.........so the deals are out there, Katie and others!