House Buying Loans
Will taking out a car loan hurt my chances of buying a house?
My Husband and I are stil unsure of renting or buying right now…Its kind of complicated since he just got out of the military and we just moved back to MA across the country and are currently staying with my family. We always used one car because e lived on a small military base…now we NEED to cars because Im starting a part-time job and I have to small children…My husband also works a hour away 48 hours at a time! So a car is a MUST! I have money in my savings but im saving that for the house (we are using the VA Loan) Will it hurt us to take out a small auto loan for like $4,000? My husbands credit score is about 710…We also have no credit card debt at all….We have three cards but only charge gas and pay them off right away…And we have one car loan out thats a couple years old for $12,000. thanks!
It sounds like you’ll be fine. Your total monthly bills (including rent or a new home payment) should not exceed 50% of your gross income; if you’re below that, you’ll be ok.