Bad credit but own home free and clear

[Chris Hamrick]

I have bad credit, but I own my home free and clear. Also, my work history is none because I was laid off in April. I'm now self-employed, and applying for jobs now.

Thing is, I have 2 deals I'd like to take advantage of. Both properties cost way less than what my home is worth. They also don't need any work really. One is absolutely move-in ready and the other just needs carpet.

What are my options? A loan officer told me I can't use my house as collateral unless i've owned it for 2 years... That doesn't sound right to me.

Any help?

Or should I just find someone that can qualify and pay them to use their credit?

[Account Closed]

You've got lousy credit and you can't prove income. Borrow my credit? Not for any amount of money. Sorry.

Maybe if the houses are a really good deal, you can find a partner who has some cash.

Better yet, put an option on them and assign the contracts. Save the profits from both of them and use that money as a down payment on your next deal.

Once you've got down payment money and a track record of making money on your deals, you should be able to find private loans, if the deals are good enough.

Even smarter would be to take the profits from the first two and fix your credit (that means pay off your debts). Good credit makes real estate investing easier.