Sunday, March 27, 2011

When will I be ready to buy a house?

I want to buy a house as soon as possible. It is my number one goal and it is constantly on my mind. Let me give you a little background. I'm a 20 year old male. I work full time and make around 17,000-20,000 a year. I work full time. I do not have a car payment and I do not have a whole lot of credit. I'm a very good saver and have 5,000 saved in my bank account and roughly 5,000 in matured savings bonds that my mom has stored away for me when the time is ready to buy. My only problem seems to be the credit. It was like pulling teeth to get a credit card. I eventually went through my bank and got one with a $500 credit limit. I've had it for 2 months and use it responsibly paying it off in full at the end of the month. I also have two $2,500 student loans I have been paying back on. I recently decided that it is in my best interest to pay these off before buying the house to get more of a credit history and save myself from having a loan payment when I'm on my own. I have one of the loans paid down to $1800 and plan on having that paid off before I get my tax return (around $2,000) and beginning of year bonus from work (around $1,000). The taxes and bonus money will pay my other loan off and I will be debt free by February and still have around $5,000 in savings and $5,000 in bonds. I plan to save for a few months after the loans are paid off so I can have a solid $8,000-$10,000 to play with for down payment and still have a couple thousand left over for any repairs/making the place my own. I already have all the furniture, pots/pans, dinnerware etc. and washer and dryer so I'm set in that area. So if you are still with me after all this being said, do you think I will be ready to buy a home in 6 months this summer? I wanna buy in the 30-50K range. Lenders in my area will lend a minimum of 30k. Opinions, Input, and advice is greatly appreciated!

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