we were Denied....again

Creative Real Estate Financing
9yFollow

we were Denied....again

Nicole Wood
Investor · Bath, NY · Member since 2015 · 149 posts · 44 votes

well.... we just got denied for another loan...DTI ratio too high for me and my hubby. I'm starting to get discouraged. I wish I would have found this site years ago or read rich dad poor dad. Too many credit cards...in too deep and trying to get out but stuck in the "rat race". Still not giving up but hoping I catch a break soon. We found a great deal and now have no way to finance it.

0Reply
55 views

Most Popular Reply

Diane G.
CA · Member since 2016 · 1k+ posts · 1k+ votes
9y
@ Nicole frawley Anyone buried in debt is because he spends too much relative to his income... For now, you should completely forget about investing, and work on your debt issue first ... Start with your income, carve out what you have to pay for debt, then carve out what you want to save.... Then create a budget based on what is left.....every time you are about to spend money, pull up that budget and see if you still have room there.... if not, don't spend..... That is a lifelong skill everyone needs.... If you can do this for 3 years, I guarantee you will be able to afford RE again
7Reply
See this reply in the discussion

32 Replies

Jump to latestLatest
  • DL Martin
    Rental Property Investor · Cincinnati, OH · Member since 2013 · 292 posts · 280 votes
    9y
    Originally posted by @Nicole Wood:

    well.... we just got denied for another loan...DTI ratio too high for me and my hubby. I'm starting to get discouraged. I wish I would have found this site years ago or read rich dad poor dad. Too many credit cards...in too deep and trying to get out but stuck in the "rat race". Still not giving up but hoping I catch a break soon. We found a great deal and now have no way to finance it.

    Go to a BP meetup or local REI group and seek out a partner. Give away the majority of the deal, but get the deal. Pay your taxes and then put the rest of the profit toward the worst of those credit cards.

    You guys need to keep your chins up and get that first deal done. 

    You can do it. Regular people do it all of the time. 

    DL 

    2Reply
  • Nicole Wood
    OP
    Investor · Bath, NY · Member since 2015 · 149 posts · 44 votes
    9y

    unfortunately the most local meet up around me is 2 hours away unsure if anyone would want to do a deal my way. But i do plan to go to one at some point. 

    1Reply
  • Brie SchmidtBusiness Member
    Moderator
    Real Estate Broker · Chicago, IL · Member since 2013 · 6k+ posts · 5k+ votes
    9y
    Originally posted by @Nicole Wood:

    well.... we just got denied for another loan...DTI ratio too high for me and my hubby. I'm starting to get discouraged. I wish I would have found this site years ago or read rich dad poor dad. Too many credit cards...in too deep and trying to get out but stuck in the "rat race". Still not giving up but hoping I catch a break soon. We found a great deal and now have no way to finance it.

    Like others have said, conforming guidelines are set and you either meet them or don't. If your DTI is over 50% and you can only do 3.5% down you may want to change your focus to paying down your debt, not adding more.

    Take a look at your debts and put everything in an excel sheet. Then divide the monthly payment on your credit report by the balance owed. You will see what percentage the payment represents (mine range from 1% - 4%) and pay off the highest percent first, that will free up the most DTI. Use 0% interest credit cards to do a balance transfer and consolidated the debt and then pay it off in larger than the minimum payment.

    It takes preparation to be in a good position to invest, create a budget and stick to it, pay down your debts, save up more for a down payment.  Spend 12-18 months getting yourself in a position to make good long term decisions.  

    Podcast Guest on Show #132
    Second City Real Estate4.821 Reviews
    WebsiteView Page
    0Reply
  • Diane G.
    CA · Member since 2016 · 1k+ posts · 1k+ votes
    9y
    @ Nicole Frawley - there are numerous online car dealers who will buy your car at KBB price... you don't have to trade up with them... Just google it... tons of them
    0Reply
  • Nicole Wood
    OP
    Investor · Bath, NY · Member since 2015 · 149 posts · 44 votes
    9y

    i've never heard of the car dealers that take the car at kbb but i believe kbb is lower than what i owe...in fact i'm sure of it:/

    0Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free