Would you buy a home if you have $10,000 in credit card debt?

Question

I'm going to be paying off a couple of cars in a year or two and I believe my income will go up.

Do you think this is too risky.

I am 29, my wife is 27, and we make about $64,000/year and will be buying a $130,000 house.

What do you think?

Answer 1

Please pay off your debt before you take on a house.

Good luck.

Answer 2

The old, sane rules used to be no more than 25% of your salary goes to housing, in this scaled down market its still no more than 30%.

Do not buy with the idea that your income will go up.  These are uncertain times at best and you can only count what you have in hand.

Make sure you have a down payment of at least ten percent.

Its better to buy less of a home than you can afford than more.