Don’t Buy A Home You Cannot Afford

Added March 23, 2009 by Ilyce R. Glink

Print Articles

Summary: If the house you want is more than you can afford, you’ll need to reevaluate the kind of home you’d like to buy. Having bad credit makes it even more difficult, because high interest rates will put that dream home even more out of reach. Working on your credit score will put you in a position to better afford a home in your price range when you’re ready.

Q: I would like to buy a home but my credit is bad and I'm on a fixed income. The house I would like to buy costs about $800,000. What do you suggest? Should I be considering an $800,000 house?

A: It would be great if everyone could afford to buy an expensive house.

You can't buy a house that you cannot afford, and this sounds like it's out of reach for you if you're truly on a limited, fixed income.

With bad credit, you'll pay an exceedingly high interest rate. I think you should look for something that is more in your price range and I'd also advise working on improving your credit history and credit score so that you have more financing options available to you.

See more articles on this topic by clicking on the "RELATED ARTICLES" above and to the right.

We have over 5000 articles on Real Estate Advice, Personal Finance Advice and Consumer Advice on our site. We encourage you to look at these articles. As always, if you have a comment on our articles, don't forget to post your comment below. We thank you for coming to ThinkGlink.com.

© Ilyce R. Glink. All rights reserved. This content may not be used, distributed, syndicated, compiled or excerpted in any medium or form without written authorization from Think Glink, Inc. For information on syndicating ThinkGlink.com please contact us.

Previous article Next article