Mortgage on a free and clear house..

I have a house that I bought last year after someone foreclosed on it. I paid cash for the house and it is not a expensive house. I bought the house for 11,101 and the apprasial I had done last year was at 25k.The question I have now is what would be the best type of loan to put on this, after my failed marriage I walked away with 23k in debt and used the cash I had on had to buy this house instead of paying down the debt, now I have the debt paid down to 16,000 from 23k less than a year ago and would like to put a loan on the house to pay off the rest. I bought the house in April of 2010 so I know I will probably need top wait till march to apply. Just seeing what route is best to go.Financially I had a chapter 7 BK in 2004, I make 50k ish a year and credit scores are hovering a little under 700 per myfico.com. I would like to get a loan to wipe the revolving debt out to be able to better get a nerw mortgage for a different house, I am owner occupied right now but I do have a renter living with me and I get 400/ month from them, if I get a new house they are willing to stay there on a year lease for 650/ month for the whole house. by julesa545454 from Detroit, Michigan. May 27th 2011 Reply