Can you put a down payment on a house with a credit card?

Can you put a down payment on a house with a credit card? I%26#039;ve got all of this open credit because I%26#039;ve been paying off my debt. But because I%26#039;ve been paying off my debt I have no cash. Please advise. Thank you.

Best Answer

You do not need a down payment to buy a home. If you have a 580 credit score or above you can get an FHA loan. You can always get down payment assistance. To the credit card question the answer is YES you can. You can take a cash advance against your credit card. The down side to that is you would have to let the money sit in the bank for 60 days do that is is seasoned. While the money is sitting in the bank you will be paying a VERY HIGH interest rate on it. It is not a smart idea to buy a home but it can be done. If you need some advise on how to get ready to buy a home feel free to contact me. kramel@interactivefinancial.com Mortgage Branch Manager

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Other Answers (5)

No..No..and No...

If you are approved for a loan you are approved based on your credit score and Debt to Income Ratio. If you use a credit card you will probably change these two items enough that at the least it would give you a higher interest rate or at worst would cause you to get denied. It is not uncommon for lenders to check your credit again right before closing at which time this would have been discovered.
No Way!! That is a very stupid idea. So do NOT do it! Just be patience and save up some money for now. Since you pay off all your credit cards, you have those money go toward savings, so start saving and BE PATIENCE. Do more research about the house market, don%26#039;t jump into it because all the news media say that is a good time for First Time Home Buyers (I assume you are). The most important thing is YOU ARE ALSO READY for the house market. Otherwise, you will get into financial trouble - just like why the house market had crashed. Don%26#039;t listen to someone that says that they are some kind of mortgage manager. The new standard for the FICO score has to be above 760, and that is still not a guarantee to a home loan. Be ware of scan artist try to con you.
NO WAY! That would be stupid stupid stupid. No lender in their right mind would let you do that.

It%26#039;s good that you%26#039;re paying down debt though. If your monthly debt is too high (over 50% or so of total income) you wouldn%26#039;t qualify for a home loan. Get the debt paid and start saving, then by a home.
Don%26#039;t even consider this!
Do you really want to risk missing a payment and ALL of your credit cards jumping to 25% interest?
Save up a down payment, or if it%26#039;s your first home you can possibly get a 100% loan through FHA or HUD.

Answer Over!
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