Can I purchase a home after paying everyting on my credit report?

I want to payoff everything on my credit report so that my family and I can purchase a bigger home. How soon After I pay my credit off can I my credit rating go up so that I can purchase our home?

Can I purchase a home after paying everyting on my credit report?
Depends. Lending institutions are somewhat cagey about the criteria used in credit scoring to prevent people from gaming the system. The criteria differs somewhat between them.





It is generally a good idea to payoff non-secured debt like credit cards, because it has less to do with your score than your debt/equity ratio. D/E will go down immediately after you payoff the cards because you no longer have that debt. So pay them off and they don't even need to appear on the application for a mortgage. That plus a good payment history will place you in a good position to qualify for a higher mortgage right away.





Another good thing is, once you payoff those cards, cancel the account. Keep one card and pay it off every month or use a debit card. Open accounts will show up on your credit report.
Reply:you'll still have to qualify with a lender. Even if you're up to date, they often look at your credit history. It's possible you could get a loan, but expect to pay a higher interest rate based on your credit history.
Reply:when u pay ur bills off, call ur creditors and tell them u paid the bill and to updated ur file. then ask them to give u a formal statement saying u paid. take that to whomever ur gonna get the new loan from. Do fast, its a buyers market.