Important things to know and remember:
If you borrow money, use a credit card, have a cell phone, etc., PAY YOUR BILLS—ON TIME or early
It's honorable to pay cash for everything, but the fact is, without an established credit history, it's very hard to get a good loan
If you run into a problem and have trouble paying an obligation, contact the creditor to work out a deal—do not pretend it does not exist
Live within your means - Hard, I know, but necessary
Save some money. Even on a loan that covers up to the entire purchase price, having money in the bank as a reserve does wonders!
Take advantage of the free credit reports that are offered each year to keep you on track with what's happening in your “credit life” and if there is a developing problem, it can be dealt with quickly.
As seniors head off to college or into the work force, they can position themselves to be ready and able to obtain a mortgage loan when the time comes. A seminar for high school seniors should include::
Real time information on current market trends and how what they start doing now can affect their entire financial life.
Samples of folks who have done it right and those who have not, clearly illustrating how irresponsible decisions can have a truly long lasting effect on them.
Credit for the Future
By Kathy Arce, Phoenix Resources Mortgage Co.
It's never too early to begin helping children prepare a good credit profile. Parents can help kids learn responsible bill paying and money management early, beginning in their high school years. It would help if high schools offered a seminar on credit management, but parents play a vital role. With close monitoring, a small, co-signed credit card can start students on the way. If they understand they can charge a small amount each month, and pay it off in full each month, their credit scores will be off on a good foot. Car loans also improve their scores, as long as they make their payments in a timely manner. Parents must continue to counsel, explain, and set a good example. Then, as children go to college or off on their own, they take this learned skill with them and continue to make good money decisions.
When children leave for college or the workplace is a good time for parents to offer them a credit card, but have a copy of the bill sent back to them. The kids will spend wisely, knowing the bill is being seen by their parents and paid promptly, assuring a good credit record. Then when the kid’s employment is secure, they will be better positioned to buy their first property.
In the Steamboat area market, our young people who cannot afford a traditional loan need higher loans to cover the increasing property values; therefore, good credit scores are imperative. In these challenging times, we need to be more vigilant than ever. As the economy and housing/mortgage issues begin to improve, lenders will certainly continue to be extremely cautious on their lending qualifications. There will be money to loan, but only to borrowers who truly deserve it. If our children have good credit, a good job history, and some money saved, it will go a long way towards realizing their dreams of owning a home. 
Features
The Water Issue
Building on the Water
Don't Use It Don't Lose It
The
Hydrological Effects
of Beetle Kill
Water Quality in the
Yampa River Basin
Departments
The Green Scene
How Many Miles per Gallon Does this House Get?
Builder Perspectives
Decor & Style
Real Estate
Foreclosure in Steamboat Springs: Emerging Business Opportunities
Artist Profile
Archive
Winter 2007
Archive
Summer 2008