Q: My boyfriend and I are looking for a house together. I have good credit, but his credit score is bad. We are thinking about going to credit counseling before applying for a mortgage. How long do you think it will take to repair his credit? Do you think we will make the June tax credit deadline?

A: Most mortgage banks and brokers are looking for credit scores in the 600s, so how long it will take to repair your boyfriend’s credit really depends how low his credit scores are. It could take a couple months or a couple years, depending on the severity of the situation. continue reading »

Q: I’ve recently heard that you can use the $8,000 First-time Buyer Tax Credit from the American Recovery and Reinvestment Act now and pay them back when your income tax comes back. How true is it?

A: Across the country there are programs in the works to facilitate use of the first-time home-buyers $8,000 tax credit prior to filing your 2010 income tax return. In some states, these programs already exist and are working to improve housing markets. Locally, however, there are many ideas in the preliminary stages but lenders agree most seem as though they will never come to fruition in the next six months before the credit expires. continue reading »