Hi Loretta, I agree the best thing to do is contact a mortgage loan officer. We have a great one at the Long and Foster White Marsh Office. call 410-931-6300 and ask for Andy. Which is the best choice depends on the amount of loan you need to get into your new home, how much you need to put down, your credit score and your current debt to income ratio. In most cases it is best to pay down the debt as much as possible because while improving your debt to income ratio it will also improve your credit score. But again everyones situation is unique and I would refer you to Andy.

Go to the bank or credit union that you use, and seek their advise. My mortgage broker that I use has a computer program that tells which is best to do, pay off bills, increase down payment or whatever that will increase your credit score to make the sale go together.

Many new home builders have inventory - some of which they own, and you might be able to find one who will carry the financing - so you may not have to get a conventional mortgage.

If you want the name of my great mortgage broker, its Craig Gough, his cell number is 301-399-5630-he is great!

Bill Wootan

I would have to agree with previous answers, as everyones situation is a little different. If the credit card payments, along with all other debt still keeps you within your debt ratio guidelines, then saving the money for DP makes since. If you need to reduce you Debt to Income ratio then paying off cards would make sense. So the only way to truly know your best option is to talk with a great mortgage loan officer. I can give you tweo suggestions if you would like and would be happy to aid you in your home search as well.

Loretta,

As a mortgage loan officer I'd start by getting a pre-qualification. This means that we'd look at your credit, gather your income and employment information and determine your eligibilty to purchase a new home. You mention that you'll also be a seller. If you speak with a realtor after your prequalification they'll be able to provide you an estimated net proceeds from the sale. This figure will also aid in your pre-qualification. The most important items in all transactions today are credit history and loan to value. You can contact the lender of your choice or we'd be glad to speak with you without obligation. You can get our info at http://www.myloanladies.com if desired.

Good luck on your goals!

Anne & Lora
1st Preference Mortgage

Hi Loretta-
I can fully relate to your concern with what the media is saying. In all actuality, it is still pretty easy to get financed if you kept your nose clean. Do you have nay idea of your credit score? What type of property are you considering (single family, multi0unit, etc) and is it a fee simple or condominium type property? I am accessible through my website at http://www.ronbeebe.com and wish you the best in your house hunting endeavors!

Best thing to do is speak with a qualified Mortgage Consultant. I have 2 that I highly recommend. Please e mail me at dannymcdevitt@hotmail.com or Call or text at 410.499.5714 and I will send you contact information