@TakeshiaMartin
You've made the best move that you could possibly make by joining this site. I joined a few years ago, and have had many of my questions answered by simply cruising the forums. My main suggestion to you is to start with the low-hanging fruit, meaning the things that you can directly control...like your credit. I've read many comments mentioning that no credit is required to invest. This is true. However your confidence level is much higher when credit isn't something you have to worry about. There are a few easy things you can do now to get started:
1.) Sign up for a monthly credit monitoring service (i.e.: equifax.com, transunion.com)
2.) Jot down a list of all derogatory accounts and setup a game plan to attack them one-by-one (use forums like myfico.com or creditboards.com for template letters to send those creditors/collection agencies.)
3a.) Once you have cleared the majority of them, start building credit. There are many ways to do this. When I started off, I solicited the help of family members who had good credit histories and asked for their permission to become an 'authorized user' on one of their high-limit/low utilized credit cards. Now this doesn't mean that they will actually give you a credit card. You are simply piggybacking onto their good credit history as a way to start building your own.
3b.) Open a "secured credit card" with your local bank or credit union. This card is different from others because it is designed for people with limited credit histories. You will give the bank a deposit which will determine the limit of your credit card (i.e: $250.00). Use the card for very small purchases, and pay the balance off as soon as you receive your monthly statement. Each time you make a payment, you are building another month of credit history.
3c.) Capital One has a Platinum card (with an astronomical interest rate) for individuals with limited credit files. This particular card doesn't require a deposit. Use the card on very small purchases and pay it off in full once you receive the monthly statement.
4.) NEVER miss a payment. Even if you have to borrow the money. One missed payment can set your score back 100 points. This is the most important step of them all as the whole goal is to build credit.
Once you start using your cards, the rule of thumb is to try to keep all of your balances below 30% of your limits. I keep mine below 20% just to play it safe. This will help you to attain your highest potential score at al times. Do not get discouraged!! It may seem like an uphill battle but at the age of 25, your head is definitely in the right place.
Though there certainly are ways to invest in real estate with no money or no credit, the ball is in your playing field when you have at least one of the two. Start with what you can control now. Best of luck on your journey!!
