@Anonymous wrote:Whats a good way to build my profile?
Lots of suggestions and answers in the postings above and in my linked threads. Basically use your credit responsibly over time, slowly add new and better cards to your lineup, and be patient. It takes time.
What is your Average Age of Accounts? Age of Youngest Account? Age of Oldest Account? How much spending are you putting through your present cards and what is the utilization rate? What categories do you have the highest spending and what types of cards are you looking for? Travel? Rewards points? Cash Back? Low APR and balance transfer? Annual Fee or not? Perks? Where do you have banking accounts? Do you or family members have military affiliation? Have you burned any lenders with previous collections or derogatories? Without more background information in your postings or signature, it's difficult for us to answer your general questions.
*In most cases, High Credit Limits are not as much a credit goal as they are a BY-PRODUCT of building a healthy credit file.
All these things factor into what the community might recommend for your next steps, but without knowing more it's hard for us to help you. We're here to support you but you have to do some of your own research looking up old threads, reading, and asking specific questions.
@sarge12 wrote:
@Anonymous wrote:Im looking to purchase real estate
If looking for to purchase real estate, very high credit limits on revolving accounts is not advisable in my opinion. DTI is strongly considered in real estate loans. Three cards are needed to help maximize utilization, and high limits are achieved over time and may take in to account income, even though income will not harm scores. Some real estate lenders might see high revolving limits as impediments to possibly increased future debt. If going for credit cards, higher limits might be helpul. The amount the lender will allow in the real estate loan has more to do with DTI and appraisal of the property. The value of the realestate and the combine debt as a percentage of the property value and the DTI on the loan terms has a lot to do with it.
There are a lot of YouTube videos, where they talk about purchasing and renovating real estate, by leveraging CC's and PLOC's. I think a lot of it revolves around the Velocity Banking technique. I believe that this may be what the OP is referring to when he states that he wants to use these lines of credit for real estate. While some people appear to have been successful using this technique, I don't think it's a risk worth taking for everyone. Especially if the income is not there to cover the expenses if something goes wrong. As someone who has "flipped" real estate in the past, I can tell you that things definitely go wrong. Your first property is usually going to be more of a learning tool than a profit.
Goal Scores: 700 across all three
@Anonymous wrote:no baddies at all. No late payments credit history average 5 years. No family military affiliations. Im looking for large balances so I can pull money off the cards.
It is good you have excellent payment history.
Using credit cards to get cash advances to buy real estate is simply not a good idea. The interest rates on the credit cards will drown you before you can get the real estate turned around / flipped / sold for profit.
Best to talk with a Credit Union, or a bank, and try to get financing secured by the real estate.
