Here are some steps for repairing your credit and buying the home of your dreams.

1. Make a budget. Calculate your income and your expenses make a budget for your household.
2. Look at your credit report and be aware of your score.
3. Talk to your creditors. Do this as soon as you realize you are getting behind in your payments. You can work with them to reduce your payments before you get too far behind.
4. Always get any agreement in writing. Make sure you get a letter when you negotiate lower interest rates and payments.
5. Stop using credit cards. Only buy what you know you have money in the bank for.
6. Gradually cut off credit accounts. All of a sudden cutting off all credit accounts makes others think you are financially unstable.
7. Try a secured credit card. This means you supply money up front as collateral. For instance, if you deposit $400 in the bank, you will have a $400 limit on your secured credit card. This is a safe way to build your credit.
8. Join a credit union rather than a bank. They are more likely to give you a loan than a bank is.
9. Always make payments on time. Payment history is the number one thing that determines your credit score.
10. If at all possible, always avoid bankruptcy. Bankruptcy shows up on your credit for 10 years.