Eric's Credit Community

Hello and thank you for reading my listing.  A little about me:  I'm 31 y/o with a wonderful wife of 5 years and two beautiful daughters.  Long before I realized what good credit meant, I ruined mine (with the help of an ex-wife that created lots of bills).  Now, having been married longer, and growing a family, the credit problem is a thorn in the side, so to speak.  Now to the bright side:  Due to the death of our firstborn child, we are in the final stages of a lawsuit which we expect to settle before the New Year, or at least shortly thereafter.  The sum of money (after attorney's fees) is to be quite substantial.  With it we plan on becoming debt free.  While we have been anxiously awaiting the end of this, we have been looking for our very first HOME to purchase, and found the absolute perfect house.  It has 4 bdrms, 2 baths, large backyard, etc.., for a total of 2200 ft2 .The best thing is that most homes that are similar are selling for approx 120k to 200k in our area.  Our pick, which we made an offer on today (10-23-06), is 93.5k :) :)... Now the issue--- We have talked to a few mortgage companies that are very willing to work with us as far as income, credit rating, etc...  However, they would like for us to at least have closing cost money.  The realtor estimated closing costs @ $2500.  There is also a fence that needs to be repaired or most likely replaced so that my two year old can enjoy her new back yard.  The fence I can build for $500 or less. 
If you want, you can compare our choice:
http://www.alamogordoidx.com/listing.php?mls=129634&site_id=765

to some of the others in town: 
http://www.alamogordoidx.com/listing.php?mls=129225&site_id=765         
http://www.alamogordoidx.com/listing.php?mls=129616&site_id=765  

As one can see, we are getting a great deal!  Now for the part how we can afford to repay the loan.  Between my wife and me, below is a list of our current income and expenses.  Also, if you would like references, they are available upon request. [Income figures calculated by wage x normal hrs x 4.33]  
Wife?s Income (base amount before deductions)  
$1925.25
My Income (base amount before deductions)
$1668
Other income (CPR Classes monthly income)
$800  

Total Income
$4393.25

Total average deductions (12%)
$527.19  

Total net income per month
$3866.06  

Monthly expenses
Rent ........................... $360
Electric ....................... $80
Phone ......................... $80
Car payments .............. $595
Insurance .................... $160
Child Care ................... $190
Credit Cards ................ $125
Cell Phones ................ $ 140
Groceries .................... $200
Misc. .......................... $300
Prosper loan ............... $139.16 (if funded)
Total Expenses............ $2369.60  

Net Income     ............. $3866.06
-expenses ................... $2369.60  

Monthly cash flow........ $1496.46  

I thank you in advance for helping us realize our first home.  If you would like ANY additional information, please do not hesitate to contact me.

By the way, the reason for the 25% interest rate as opposed to 29% is two-fold.  1) It is comparable to