July 9, 2009 • June Walbert
Q: Is it mandatory for me to have a job to be able to buy a house. I am coming out of the military and I’ll be going to college. The military will be paying me disability and GI Bill money. Can I still get a house even though with full time college and a family I won’t have time to get a job?
-Vitaliy, Moscow, Nev.
A: Thanks for your service and sacrifice. Not everyone who buys a house has a job. However, if you want to borrow money to buy a new home, you’ll definitely need enough income to be able to make the monthly payment. So, you can certainly check with a lender or two and determine if and how much they might be willing to pre-approve you for based on your disability income. My inclination is that now might be the ideal time for you to rent. This would probably require less prescreening and perhaps alleviate some financial pressure while you’re working hard to get your degree. It will also allow you some flexibility to go where your degree will take you after you graduate. To prepare yourself for that significant purchase, be sure to carefully review your credit report to ensure it’s in ship shape. Also continue to pay bills on time (that solid payment history is crucial!) and keep credit card balances as close to zero as possible! Good luck and enjoy school!
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June Walbert is a CERTIFIED FINANCIAL PLANNER TM practitioner with USAA Financial Planning Services, one of the USAA family of companies.
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