Jeanne......have you already been turned down by a bank for a mortgage?

If you have been turned down, then I am afraid you will not be able to pruchase a home , or get the tax credit at this time, unless you have a family member willing to loan you the $50,000.

Sit down and speak with a lender to see what you need to do so that you will be able to borrow money in the future. Is it a case of low credit scores? Do you need a down payment? Is your income not high enough?Whatever it is..work on it, and hopefully things will improve for you down the road.

Best wishes...
Debbie Rose
Prudential NJ Properties

Banks are tightening on lender requirements and credit scores. Do you know what your credit score is?
If you cannot do anything at this time you may want to seek out some credit counseling so you will be able to buy in the future.

If you're looking to borrow just $50,000, you most likely will run into problems trying to apply with a mortgage broker or lender. The reason is Fannie Mae / Freddie Mac caps the fees that can be charged to 5% of the loan amount. For a $50,000, the total fees that can be charged is $2500 - and that includes appraisal, credit report, underwriting/processing, title insurance and related fees, attorney fees, and so on. To offset the fees, lenders can charge a higher rate - but there's a limit to that as well. As such, most lenders won't even consider doing a $50,000 loan - they will lose money. You're better off talking to your local bank or credit union.