So you have bad credit. Maybe owning land and a home is out of reach because of this. Well, according to a study, 56% of Americans have subpar credit scores. This means over half of America has bad credit. We don’t think a bad credit score should stop you from achieving your dreams. While we will do everything we can to help you, it’s always best to help yourself as well. Owning land is definitely a possibility, but make sure you’re taking the right steps.
Use Your Calendar
If you’re shopping for land, a home or car, it pays to do your rate shopping within a short time span. Every time you apply for credit, it can cause a small dip in your score for a year. That’s because if you make multiple applications for credit, it’s seen as you wanting to use more credit.
This means that if you’re going to apply for something with credit, make sure to do it not as often. The result could mean unintentionally lowering your score.
Always Pay Bills on Time
If you’re planning a big purchase (like land or a home), you might be scrambling to assemble one big pile of cash. This isn’t what we want you to do because while you’re juggling bills, trying to figure out if you can afford a large purchase, you run the risk of sending bill payments late.
One of the best ways to improve your credit is by simply making monthly, on-time payments. If you’re bad about paying your bills, or paying them on time, it can damage your credit and hurt your score.
We will do all we can to ensure you own the piece of land you have your eye on through finance, and saving money for that big purchase is also smart. Never dismiss regular bills or pay them late.
Another way to avoid bad credit is to contact creditors directly. This may sound crazy, especially if you have surmounting debt and you’ve done all you can to avoid creditors, but hear us out.
If you are recently unemployed, for example, or suffered an injury or illness lately, contact your creditors and make them aware of the situation. Most creditors will be more than happy to work with you so that you don’t default on loans. They may even allow you to stop payments for a few months or create a payment plan that requires much less than the minimum for a few months while you work out your financial situation.
Most people are afraid to contact their creditors but they may be one of your best bets at saving your credit. Bad credit should never deter you from achieving your dream of owning your own land and building that dream home.
Let’s Get Started
At Santa Cruz Properties, we will work with you every step of the way to ensure that not only do you make that dream a reality, but also improve your credit along the way. Call us at 956.383.0868 to schedule an appointment with one of our skilled real estate specialists so we can get started today!