8 Ways to Improve Your Cred Credit scores, along with your overall income and debt, are a big factor in determining if you’ll qualify for a loan and what loan terms you’ll be able to qualify for.
1. Check for and correct errors in your credit report. Mistakes happen, and you could be paying for someone else’s poor financial management.
2. Pay down credit card bills. If possible, pay off the entire balance every month. However, transferring credit card debt from one card to another could lower your score.
3. Don’t charge your credit cards to the maximum limit.
4. Wait 12 months after credit difficulties to apply for a mortgage. You’re penalized less for problems after a year.
5. Don’t purchase big-ticket items for your new home on credit cards until after the loan is approved. The amounts will add to your debt.
6. Don’t open new credit card accounts before applying for a mortgage. Having too much available credit can lower your score.
7. Shop for mortgage rates all at once. Too many credit applications can lower your score, but multiple inquiries from the same type of lender are counted as one inquiry if submitted over a short period of time.
8. Avoid finance companies. Even if you pay the loan on time, the interest is high and it will probably be considered a sign of poor credit management.
Buying versus Renting
There are many advantages to buying a home versus renting one. View these advantages in the Buy vs. Rent Comparison Chart, or view a financial comparison of buying versus renting in the Buy vs. Rent Calculator.
Your income, savings, and monthly expenses play an important role in determining how large a mortgage you can afford. To figure out the amount you can afford, please click Affordability.
Savings: Buying
In many cases, the amount of money a renter spends on rent can be about the same as or less than the amount a homeowner spends on a mortgage. With the tax benefit for homeowners, the savings can be significant.
Buy vs. Rent Comparison
The chart below shows a cost comparison for a renter and a homeowner over a seven year period.
The renter starts out paying $800 per month with annual increases of 5%
The homeowner purchases a home for $110,000 and pays a monthly mortgage of $1,000
After 6 years, the homeowner's payment is lower than the renter's monthly payment
With the tax savings of homeownership, the homeowner's payment is less than the rental payment after 3 years
Years | Rent Payment | Mortgage Payment | Monthly Difference | After Tax Savings | Yearly Difference | After Tax Savings |
1 | 800 | 1000 | -200 | -50 | -2400 | -600 |
2 | 840 | 1000 | -160 | -10 | -1920 | -120 |
3 | 882 | 1000 | -118 | 32 | -1416 | 384 |
4 | 926 | 1000 | -74 | 76 | -888 | 912 |
5 | 972 | 1000 | -28 | 122 | -336 | 1464 |
6 | 1021 | 1000 | 21 | 171 | 252 | 2052 |
7 | 1072 | 1000 | 72 | 222 | 864 | 2664 |
8-30 | | | Savings increase every year |
Monthly Expenses: Buying
Your rental company takes part of your rent payment to cover certain housing expenses. When you decide to purchase a home, you accept responsibility for paying for these expenses (listed below). They are additional costs to your monthly mortgage payment and should be included in your budget estimates:
Property Taxes and Special Assessments
Home/Hazard Insurance
Utilities
Maintenance Home Owner Association (HOA) Fee: Doesn't apply to all purchases. It pays for trash and snow removal and maintenance of common grounds if applicable. Membership Fee: It may pay for recreational facilities and other services (cable TV
This information is obtained from armls source. It is the best knowlege of mine. It is not 100 % right information
Table1. Houses on the market for sale by per months are under 30K between 1988-1993. In the middle 1994 it dramatistical went down(Seller market). After 1995 it goes up(Buyer market).
Table2:
Mesa, AZ
Updated Monday, December 01, 2008 7:47 PM
Fair | 57°F | High: 73°F
Low: 48°F
Wind: 3 mph
Humidity: 67%
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Tuesday
76° / 46° |
Wednesday
72° / 44° | 
Thursday
71° / 44° |
Friday
71° / 46° |
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