My credit is horrible. I ruined it early on and thought of it more as “free money,” like most young people do. I never needed credit. I have cash! Cash is king, right? Not exactly. You wouldn’t believe how many things I’ve been turned down on if I don’t feel like paying the total price outright. One thing recently before I moved back to Florida was a house.

I found this nice $125,000 3-bedroom that my Wife had actually lived in a while back growing up. We really wanted it. However my credit score is horrible. Worse than horrible. I talked to them, explained my situation, my business, etc. They wanted $12,000 cash down and payments would’ve been about $1,400/month. Needless to say I was not only a few thousand shy of the down payment, but there was no way I could afford that much of a housing increase. I was renting a 2-bedroom all tile townhome for $525/month!

Is subprime lending going to be a thing of the past? Are we heading to 20, 30, 40% cash down for anyone under 650? What’s the deal!