paulbalzotti's Discussions

Your first step should be to get some credit counseling and improve your credit. You will need to get your credit score up over 620 first and foremost. If you can get it up over 680, that will just open up even more options for you. You also want to save up atleast a few thousand to go towards closing costs and/or reserves.There is an $8,000 tax credit out there for First Time Home Buyers purchasing beore December 1st of this year. That gives you a few months to get your credit score up and still qualify this late summer or fall. The state is trying to work on a way to allow buyers to borrow the $8,000 up front, and allow you to pay it back after closing once you file... That is still up in the air though.For now, if you purchase a home outside of city limits, USDA financing is a zero down loan program which you will likely qualiy for if you get your credit score up over 620. Find out more here  http://www.usdaloans.comThere is also a HouseKey program that Washington State offers that allows you to borrow the money for your down payment. Find out more here http://www.wshfc.org/buyers/key.htmTalk to atleast two loan officers and they will help you get on the path to making it happen. Good luck!

First, it sounds like you need to work on your savings a bit more before moving forward.Otherwise, I think it depends more on what your criteria is for a house or condo and what areas your willing to consider. In many areas with today rates, you can get a nice 2 bedroom condo, or a cosmetic fixer house, that you can update and create some sweat equity. Ask a lender about USDA (Rural Housing Program) that provides zero down financing for lower income first time buyers purchasing outside of city limits. There is also a HouseKey program through the Washington State Housing Commission that lends money out for down payment assistance. http://www.wshfc.org/buyers/key.htmI recommend signing up for one of the Free First Time Buyer Classes that are sponsored through HouseKey. Educating yourself on the options is really helpful, whether you decide to buy this year or not. Good luck!