<prompt> Human: My wife and I are newlyweds and the money that we received as gifts is going towards a down payment for a house, originally. Now Im starting to think that we should pay off most of our credit card debts, which will raise our credit score. Then, when we go in to see how much of a loan were approved for, maybe our credit score is high enough that we wont need a down payment. HELP  <response>: Whats the rush? Theres no shame in living in a rented apartment or house while you work to get in a better place financially. If it is just the 2 of you, you will be fine in a 1 bedroom while you save up. You should pay off the CC debt ASAP before you even think about buying a house. Then save up your downpayment. No one will give you a mortgage with 0 down and you dont want one anyway because you will be IMMEDIATELY underwater, and stay that way for a while. To avoid this you should save up AT LEAST 10 for a down payment as well as 3-5 for closing costs and an emergency fund of at least 3 months expenses. Home ownership is very expensive. There are taxes, insurance, and expensive maintenance and repairs. There is nothing stopping a pipe leak or water heater breaking right after you move in, and if you dont have an emergency fund youre SOL. Youre not there yet, but you will be eventually. be patient! 