Should I get an used car while my credit score is high before all hell breaks through?
Right now my credit score is 787. I’m really wanting to get an used car, 1 or 2 years old car with less than 30K miles so that it would last me for the next 10 years. Currently my car is at 115K miles and is 9 years old, AC is broken. Radio is broken. The door handle is broken (my side). But no money to get them fixed.
At the same time I am in a not-so-good situation with my house. I put it up for short sale. And applied for loan modification. After reading different articles, and posts, I learned that I won’t be getting approved for loan modification because I’m selling the house. Yes I AM planning to move out of the house, I MUST downsize, settling in an apt so that my budget would be better as soon as my student loans repayment start in February. I simply cannot afford the mortgage anymore (after 3 years). My mom (whose name is also on the house) cant afford it either so she’s planning to move out too. So there’s no way I’d stay and ride it out. Or get drown.
I tried offering deed of lien and they told me to just wait for the decision from loan department. Well, I told them they will NOT help me because I’m already current! So fine, I’ll just stop paying the mortgage because I really need the money for security deposit and apt, as well as moving expenses. I KNOW my credit will ding ..and ding.. as soon as I miss payments. It’s a matter of time when my credit gets totally ruined.
So I wonder if I should hurry and get an used car that is in excellent shape that would last me for the next 10 years with good interest rate because I won’t be able to get a car once my credit shot down with the house being behind in payments and into foreclosure.
NOTE: I live in Florida. Yeah I know and it sucks! And no I’m not renting out my house due to horror stories about damages and my mother and I simply do not have the money for repairs. I’d rather suffer by walking away with deed of lien IF short sale did not work out. The house isn’t in a great shape, and the market isn’t so good either so it makes selling this house very difficult.
Please help, advise what should I do? I prefer finding a good car, and low payment like $ 200 or $ 250. That’s all I can afford. I’m done paying $ 935 a month on the $ 105K house. And my balance I owe is $ 101K. It’s crazy!
Thanks so much.