May 25, 2015

Buying a home with no credit isn't easy

By Marcie Geffner - Bankrate.com

Some financial gurus say consumers should live 100 percent debt-free. No credit cards. No car loans. No debt of any kind for any reason.

That might seem like smart advice until the question of buying a home comes up. Then, the debt-free life can become problematic.

In 2014, only 5 percent of first-time home buyers purchased a home without a mortgage, according to a survey by the National Association of Realtors.

Some first-timers receive their home as a gift, so those results suggest that even less than 5 percent managed to save up enough cash to buy a home outright. That's not nobody, but it's a small slice of the total population of first-time buyers.

Read on:
http://www.bankrate.com/finance/credit/buying-home-with-no-credit.aspx