Question # 1 credit score 534 as of 01/20/08. I have been employed since 09/07. i make $600 net every week. I was a student for the previous 2.5 years. I live in miami,fl and i want a property that costs $ 55,000. This is a property that i believe the bank owns and is in foreclosure because on the tax roll someone paid $155k for the house 2 years ago.Recent comps are in the $120k ballpark. Who can do this loan for me. For this property the mortgage should be around $500 a month and Section 8 rentals in the same zip code are going for $800 - $1100. All of these numbers are verifiable. This would be my first home purchase ever and as a first time homebuyer i need a pro to help me.
My plan is to buy it, rent it out section 8, do some cosmetic work ,and if possible take out some cash at the same time that i buy it or just wait a while and let the markets go up and then take out some cash
Question # 2 The reason my score is 534 is because the have $12,000 +/- in credit card debt that has been in collections for 5 years. Will paying off some of this improvr my score. Would it be even worth the hassel of dealing with tricky collections agents.