No credit card required
Browse credit cards from a variety of issuers to see if there's a better card for you.
Any comments on the rent to own prograam?
Have 2 baddies that I need cleared up before I can qualify for a mortgage. FP Charge off and unpaid tax lien. First Premier charge off will not get removed in dispute process or GW letter(s). Tried multiple times with no luck. Charge off falls on in 2018. Unpaid tax lien is under dispute audit process and hope will get it taken off TU report. If not, then I will have to file OIC and negotiate $22K balance.
With regards to rent to own....any opinions or experiences good or bad. Looks like an opportunity to rent a home for 3 years until credit is cleaned up. If not clean by the end of 3 year lease then we would have to file again for rent to own or move back into apartment living.
Any advice?.
...I explored some of them a couple years ago when my credit was still in the tank ...I found the advertising to be deceptive at best, the properties mostly poorly maintained and/or in unsafe neighborhoods, and the contracts not only predatory but leaving the buyer w/o any real means to protect his investment ...one clause that really rankled me forbid filing any paperwork regarding the property with any govt entity whatsoever ...which meant among other things that I couldn't file for homestead exemption (50% off property taxes) here even though the state/county is ok with it in RTO contracts where an equity interest is established ...ymmv
...that doesn't mean there are no legitimate RTOs, especially with individual owners, but you need to read the contract with a large magnifying glass ...I'd want a RE lawyer to read it as well
...a 2011 FP CO isn't in itself a mortgage killer as long as you have no lates in the last 12 mts ...but the tax lien probably is unless you are in a payment program with 6 mts of on-time receipts
you can't possibly detest the IRS any more than I do, but if it were me with only a 22k debt standing between me and a mortgage, I'd get it settled one way or the other and move on ...ime it will cost you a lot more than that in legal fees to fight it ...hate to say it but the system is so rigged against you, there is little to no other way
About 5 years ago, I entered into a RTO contract with a company and put $5000 down. We stayed for a month and found out that the owner was in foreclosure so we had to rush to move out. The company kept our $5000.
@StrawberryIce wrote:About 5 years ago, I entered into a RTO contract with a company and put $5000 down. We stayed for a month and found out that the owner was in foreclosure so we had to rush to move out. The company kept our $5000.
I have talked to several buyers that had the same experience as Stawberryice. It is heartbreaking. As Lemmus pointed out - it depends on the seller and the contract but in general you are better off renting and fixing your credit issues than throwing money at a RTO (IMO).
If you want to go down this road, make sure you have an attorney that represents YOU. Not the seller. The RTO contract has to be put together by an attorney anyway - there aren't standard RTO contracts that Realtors fill out (of which I am aware).
Also, as Lemmus mentioned, you can get your payment agreement together with the IRS and make your monthly payments - after about 3 payments (or more, this is lender specific) you should be able to purchase a home. The IRS payment will be used in your DTI but other than that its not a big issue. The u/w will want to see the agreement and the payments made timely. It is less hurtful than the alternatives and more beneficial than your average RTO. JMO
@StrawberryIce wrote:About 5 years ago, I entered into a RTO contract with a company and put $5000 down. We stayed for a month and found out that the owner was in foreclosure so we had to rush to move out. The company kept our $5000.
OUCH!!!!
I'm in a RTO contact right now. the seller and I had the contract drawn up by a lawyer and I pay my mortgage to an escrow company who disperses payments to the bank and insurance companies. I rented the home for a year befor and the landlord is not in the RTO business. He wanted to sell it to my wife and I by traditional means, but we have some credit issues to fix. We have until June 2017 to refinance through a bank. My experience has been nothing but positive. The only thing I'm worried about is the house not being appraised less than the agreed upon sale price, which was based on the assumption that the house will be worth 110k in 2017.