Pay Off Debt or Save for a Down Payment?

I keep hearing that real estate is a buyers market right now. Prices and mortgage rates are low, making it a great time to buy. Before you can take advantage of these great rates, though, you'll need a sizable down payment and great credit. But which of these is more important to lenders? Should you save money towards a larger down payment or use your savings to pay down your debt and thereby improve your credit score? Borrowers looking for the best rates should have a credit credit score of at least 760, advises CNBC personal finance expert Carmen Wong Ulrich. Watch this video to see Carmen explain why.

 






















 

 


 Find more information on coping with the economy with our Bail Yourself Out resources.

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