What kind of mortgage/how much can I get in Canada.. what should I do to before to raise score.?

Score 620 TU and 640 EQ .. Score pulled while CC were maxed. Now paid off in full and waiting for report to update to see new score Salary 44000 2 credit card 1 $200 limit 1 $500 limit. 1 loan 4500/5000 payment 220 1 loan 7700/10000 payment 330 All negative credit items have been paid off years ago but are still on there which is why the scores are low. No lates in the past year 1 30 day the year before that...nothing I can do now aside from wait for the negatives to fall off. The worst is 1 student loan default (now paid) but still showing all the 120 day late history. Many loans paid with no lates. Car/Consolidation etc.. My rent currently is $740, lease is up in March ..rent will go up at that time, which is why I am looking now. I also have a person to move into new house. My family is willing to help with the purchase of the home (which I want to keep as little as possible) I'm guessing will be between 10-20 thousand for downpayment/closing costs etc... hopefully less. Option 1) Consolidate those 2 loans into 1 for a combined payment of 340ish but what will that do to my score since it will be a new loan when I apply for mortgage?? Option 2) Pay off one or both of those loans prior to purchasing and have less money for a deposit. That will show only $700? available credit on report - How badly will this hurt score? I'm not sure what kind of a deposit I'll have to put down so I'm leary about changing anything on my report and making things worse ...any ideas??

2 months ago - 2 answers