Understanding Fair Credit Scores for Mortgage Approval
Intro
When it comes to applying for a mortgage, your credit score plays a significant role in determining your eligibility and the terms you may receive. A fair credit score, often defined as one ranging from 580 to 669, can present unique challenges yet still opens doors for financing. Understanding the intricacies involved in mortgage applications is crucial. This guide aims to dissect the complexities of having a fair credit score, shedding light on the unique opportunities and potential hurdles you may encounter.
Fundamental Terms
Key Credit Concepts
Understanding credit scores and how they function is vital for anyone looking to navigate the mortgage landscape. A credit score is a numerical representation of your creditworthiness, reflecting your borrowing history and repayment behavior.
Key terms to know:
- FICO Score: A key credit scoring model widely used by lenders.
- Credit Report: A detailed account of your credit history.
- Debt-to-Income Ratio: The percentage of your monthly income that goes to debt payments.
- Loan-to-Value Ratio: A ratio used to assess risk by comparing loan amounts with property value.
These terms are essential as they influence your mortgage options. Knowing them can lead to better decision-making during your mortgage process.
Importance of Understanding These Terms
Understanding the implications of your credit score can help you make informed choices. For example, knowing your debt-to-income ratio may guide you in budgeting for a new mortgage. This knowledge aids in assessing your overall financial health, and contributes to making sound investment decisions.
Credit Score Calculation
To fully grasp how a fair credit score affects your mortgage application, one must comprehend how credit scores are calculated. The general breakdown is:
- Payment History (35%): Timely payments can significantly boost your score.
- Credit Utilization (30%): Keeping balances low relative to your credit limit can show responsible use.
- Length of Credit History (15%): Longer histories are typically viewed more favorably.
- Types of Credit Used (10%): A mix of credit types can enhance your score.
- New Credit (10%): Each hard inquiry can negatively impact your score slightly but is often temporary.
Understanding these aspects enables you to focus on improving specific areas of your credit profile, ultimately increasing your chances of securing better mortgage terms.
Impact on Mortgage Options
So, how does a fair credit score influence your mortgage options? Primarily, it affects interest rates and the availability of specific loan programs. Lenders often charge higher interest rates for applicants with lower credit scores. This may lead to paying considerably more over the life of the loan.
- Higher Down Payments: Lenders may require a larger down payment for those with fair credit.
- Limited Loan Types: Certain government-backed loans, like FHA, may be more accessible, but terms could be less favorable.
Understanding these impacts will help you prepare financially for a mortgage application and set realistic expectations.
Strategies for Improvement
Improving a fair credit score can be achieved through various means. Here are some strategies:
- On-time Payments: Always strive to make timely payments.
- Lower Credit Utilization: Aim to keep your credit utilization below 30%.
- Address Errors: Review your credit report for inaccuracies and dispute them.
Building your credit score takes time and consistent effort. However, even small changes can lead to significant improvements in your creditworthiness.
The End
Understanding Credit Scores
Understanding credit scores is a crucial aspect of navigating the mortgage market, particularly for those with a fair credit score. Credit scores serve as an essential measure of an individual's creditworthiness, impacting the decision-making process for lenders significantly. A clear grasp of credit scores helps potential borrowers to assess their standing better and develop strategies to improve their chances of mortgage approval.
Definition of Credit Score
A credit score is a numerical representation of a person's creditworthiness. It typically ranges from 300 to 850, with higher scores indicating lower risk for lenders. Scores are calculated based on various factors, including payment history, amounts owed, and the length of credit history. Understanding this definition is vital for any borrower as it informs them about how their financial behavior translates into a quantifiable value that lenders use.
Components of Credit Score
The components of a credit score consist of several elements that contribute to its overall calculation. These components include:
- Payment History: This is the most significant factor in determining a credit score, accounting for about 35% of the total score. It reflects whether a person pays their bills on time. Late payments can severely harm the score. Timely payments are beneficial because they signify reliability to lenders.
- Credit Utilization: This measures the ratio of current credit card balances to available credit limits. It comprises about 30% of the score. Lower credit utilization indicates good financial management and can positively affect a borrower's score, making them appealing candidates for mortgages.
- Length of Credit History: This aspect reflects how long an individual has been using credit. It makes up around 15% of the total score. A longer credit history generally leads to a higher score, as it provides lenders with more data to assess credit behavior.
- Types of Credit: This evaluates the variety of credit accounts a person holds, such as credit cards, mortgages, or installment loans. It represents about 10% of the score. A mix of credit types can enhance a score as it shows lenders that a borrower can manage different debt forms.
- Recent Credit Inquiries: This refers to the number of times a borrower's credit report has been accessed by lenders in the past year, which can make up about 10% of the score. Too many inquiries can negatively influence the score, indicating a potential increased risk to lenders.
Fair Credit Score Range
The fair credit score range typically falls between 580 and 669. Within this spectrum, borrowers are considered to have a moderate credit risk. While this range does not offer the same advantages as higher scores, it does allow individuals to qualify for certain types of mortgages, albeit potentially with higher interest rates or stricter terms. Knowing this range equips borrowers with a clearer understanding of their chances for loan approval and encourages proactive steps to improve their scores when possible.
Mortgage Basics
Understanding the basics of a mortgage is crucial for anyone contemplating homeownership. Mortgages are a means to finance the purchase of a home without needing to pay the full price upfront. This section delves into the essential concepts associated with mortgages, highlighting their significance in relation to credit scores, especially for individuals with fair credit.
A mortgage not only aids in acquiring property, but it also dictates how potential buyers will manage their monthly finances for years to come. Therefore, knowing the types of mortgages available, the mortgage application process, and other related factors becomes vital for making sound financial decisions.
What is a Mortgage?
A mortgage is a legal agreement between a borrower and a lender. It allows the borrower to purchase a home, using the property itself as collateral. This means if the borrower fails to make payments, the lender has the right to take possession of the house through a process called foreclosure. Mortgage agreements typically extend over long periods, commonly lasting 15 to 30 years.
The borrower receives a lump sum from the lender, which they then repay over time, with interest. The size of the monthly payments can vary depending on several factors, including the interest rate, the loan amount, and the loan term.
Types of Mortgages
Fixed Rate Mortgages
A fixed-rate mortgage is one where the interest rate remains constant throughout the life of the loan. This stability makes it popular among homeowners who prefer predictable monthly payments.
The main characteristic of fixed-rate mortgages is their reliability. Borrowers can plan their budgets effectively without worrying about fluctuating interest rates. This feature is particularly advantageous for individuals with fair credit, as they can lock in rates that don’t change regardless of future credit score fluctuations. However, the downside includes generally higher interest rates compared to adjustable-rate mortgages.
Adjustable Rate Mortgages
Adjustable-rate mortgages, or ARMs, are loans where the interest rate can change after an initial fixed period. This means monthly payments could increase or decrease based on market conditions.
The main appeal of ARMs is their often lower initial rates compared to fixed-rate mortgages. This can result in substantial savings for the borrower in the early years of the loan. However, this type of mortgage carries some risk, as rates may rise significantly after the fixed period ends. For those with fair credit, being aware of potential rate changes is essential before committing to this type of mortgage.
Government-Backed Loans
Government-backed loans are loans backed by government agencies, such as FHA (Federal Housing Administration) and VA (Veterans Affairs). These loans provide additional security to lenders, often making them more accessible to borrowers with fair credit.
The key benefit of these loans is that they typically come with lower down payment requirements and more lenient credit score standards. This makes them an attractive option for those who might otherwise struggle to secure a conventional mortgage. However, these loans may also involve certain fees and insurance premiums that borrowers must consider.
The Mortgage Application Process
Navigating the mortgage application process involves several critical steps. First, potential borrowers need to check their credit score, as this plays a significant role in determining eligibility and terms for different mortgage products. Next, borrowers usually gather necessary documentation, such as income statements, tax returns, and employment verification.
How Credit Score Influences Mortgage Approval
A credit score functions as a key indicator of a borrower's creditworthiness and financial reliability. When applying for a mortgage, understanding how your credit score influences the approval process is vital. This knowledge allows potential homeowners to make informed decisions and better prepares them for the financial responsibilities that accompany homeownership. Within this section, we will focus on three significant elements: lenders' risk assessment, the impact on interest rates, and down payment requirements. These factors collectively shape a borrower's ability to secure a mortgage and determine the overall cost of the loan.
Lenders' Risk Assessment
Lenders assess risk by evaluating a borrower's credit score in relation to their ability to repay the loan. A fair credit score generally indicates a higher risk of default compared to a good or excellent score. Lenders rely heavily on credit scores to make decisions about approving loans and setting terms. When a borrower has a fair credit score, lenders may consider various risk factors, including payment history and current debt levels, to gauge how likely it is that the borrower will miss payments.
In essence, a lower credit score means lenders may impose stricter scrutiny over the application. This can manifest in the form of additional documentation requests or a longer approval process. Therefore, understanding how lenders perceive risk is crucial for anyone with a fair credit score.
Impact on Interest Rates
Interest rates are directly affected by a borrower's credit score. A fair credit score typically results in higher interest rates, which can substantially increase the total cost of the mortgage over time. When lenders see a fair credit score, they may calculate that the borrower is more likely to default on payments, justifying the need for higher rates to compensate for the added risk.
To illustrate:
- Good Credit Score (700 and above): Typically, lower interest rates, leading to a reduced monthly payment.
- Fair Credit Score (580-699): Higher interest rates, increasing the total costs.
- Poor Credit Score (below 580): Very high rates, making borrowing less feasible.
Rates are not just numbers; they can influence long-term financial health. A marginal increase in interest can lead to thousands of dollars in additional payments over the life of a mortgage.
Down Payment Requirements
Down payment requirements are another significant area influenced by credit scores. Generally, borrowers with a fair credit score may face higher down payment demands than those with strong credit profiles. Lenders may require a minimum down payment of 10%-20% when dealing with fair credit borrowers, compared to the standard 3%-5% for those with higher scores.
This means that securing a loan for those with fair credit can feel particularly daunting. Higher down payments require more cash upfront, which may limit options for many. On the flip side, some loan programs, such as FHA loans, may offer more lenient requirements for down payments based on credit scores, thus providing an avenue for those with fair credit to explore.
In summary, understanding the implications of having a fair credit score is essential for prospective homebuyers as it affects risk assessments, interest rates, and down payment necessities. This knowledge empowers borrowers to navigate the mortgage landscape more effectively, potentially leading to better financial decisions.
Options for Fair Credit Borrowers
Understanding options for individuals with a fair credit score is crucial in the mortgage application process. While a fair credit score may impose certain limitations, it does not eliminate available pathways for securing a mortgage. Knowing the specific options can empower borrowers, aiding them in making informed decisions that align with their financial goals.
When exploring mortgage choices, fair credit borrowers should be aware that not all loans are created equal. Each type serves distinct needs and has varying requirements.
Conventional Loans
Conventional loans are usually the first option considered by borrowers. While these loans often require a higher credit score, they still provide a viable avenue for those with fair credit. It is essential to note that interest rates on conventional loans might be less competitive for individuals with fair credit. Lenders typically prefer lower risk borrowers and adjust rates based on perceived risk. However, conventional loans offer flexible loan amounts, term lengths, and the ability to avoid mortgage insurance with a 20% down payment.
Conventional loans may require an additional layer of scrutiny for fair credit borrowers, but they remain a primary option.
FHA Loans
FHA loans represent another significant opportunity for those with fair credit. These loans are backed by the Federal Housing Administration, which allows lenders to be more lenient with credit requirements. Borrowers can qualify with a credit score as low as 580 if they can provide a 3.5% down payment. For those with a score between 500 and 579, a 10% down payment is necessary.
The benefits of FHA loans include lower upfront costs and greater willingness from lenders to approve applications. Yet, FHA loans do require mortgage insurance which can add to monthly payments—even if the borrower has a higher down payment.
VA Loans
VA loans are a unique option for eligible veterans and active duty service members. These loans do not typically require a down payment or private mortgage insurance, which can significantly lower monthly payments for those with fair credit. The credit requirements for VA loans are less rigid compared to conventional loans. While each lender may have specific requirements, many do work with borrowers with fair credit.
The appeal for VA loans lies in their flexibility and favorable terms, which can be especially helpful for those who have served their country.
In summary, comprehending these options can be the key to navigating the mortgage landscape. Fair credit borrowers have paths available, and selecting the right type can have far-reaching consequences for financial future.
Strategies to Improve Credit Score
Improving your credit score is essential, especially when you are seeking mortgage approval with a fair credit score. A higher credit score can lead to better loan terms, such as lower interest rates and more favorable down payment options. Understanding and implementing strategies to boost your score is a vital step in achieving your financial goals. Below, we explore specific strategies that can enhance your creditworthiness, providing a clearer pathway to mortgage approval.
Timely Payments
Making payments on time is the cornerstone of maintaining a good credit score. Payment history accounts for a significant portion of your overall credit score calculation. According to various sources, consistent, on-time payments can positively impact your credit score over time.
- Set up automatic payments for bills such as credit cards and loans to avoid missing deadlines.
- Use reminders or alerts on your phone or calendar for payment due dates.
Small late payments can stay on your credit report for several years. Thus, establishing reliable payment behavior is not just beneficial but crucial.
Reducing Debt
Another effective way to improve your credit score is by reducing existing debt. High credit utilization rates can negatively affect your score. Credit utilization refers to the ratio of your credit card balances to credit limits.
- Aim to keep your credit utilization below 30%. This means if you have a credit limit of $10,000, your combined balances should not exceed $3,000.
- Consider paying your balances in full each month, or making multiple payments throughout the month to keep the balance low.
When you reduce debt, not only do you improve your credit score, but you also enhance your overall financial health, making it easier to manage monthly mortgage payments.
Limiting New Credit Applications
Applying for new credit can result in hard inquiries, which can lower your credit score temporarily. While it might be tempting to seek multiple forms of credit in a short period, this can signal to lenders that you are financially struggling.
- Limit the number of credit applications you submit. Each hard inquiry can stay on your credit report for two years, impacting your score.
- If you need new credit, do thorough research and choose the best timing for your applications.
Maintaining a stable credit environment is key to improving your score over time. By strategically limiting new credit inquiries, you contribute to a more favorable credit profile.
Remember, consistent effort in managing your finances is the most reliable path to a better credit score, which is particularly important for long-term financial decisions like purchasing a home.
Preparing for Mortgage Application
Preparing for a mortgage application is a crucial step for anyone looking to buy a home, especially for those with a fair credit score. A fair credit score can limit your options and influence the terms of your mortgage. Therefore, understanding the preparation process can enhance your chances of approval and ensure a smoother experience.
Gathering Necessary Documents
Document gathering is often overlooked but is a vital part of the mortgage application process. Lenders require specific documents to assess your financial situation. Typically, you should prepare:
- Proof of income: This can include recent pay stubs, tax returns, and W-2 forms.
- Bank statements: At least two months of statements to prove savings and investments.
- Identification: A government-issued ID like a driver’s license or passport.
- Credit history: While lenders can pull this, having your report can help you spot errors.
- Employment verification: A letter from your employer may be needed.
Having these documents ready can speed up your application and help clarify your financial standing to potential lenders.
Preapproval Process
The preapproval process offers a significant advantage for mortgage seekers. This step involves a lender evaluating your financial information to determine how much they are willing to lend you. It is a vital exercise for someone with a fair credit score. Here is what you can expect:
- Application submission: You will fill out an application summarizing your financial background.
- Credit check: The lender will review your credit score and history.
- Assessment of financial health: Your debt-to-income ratio and combined credit factors will be assessed.
- Preapproval letter: If successfully preapproved, you’ll receive a letter stating how much you can borrow.
This letter shows sellers that you are a serious buyer and can enhance your negotiating power.
Understanding Loan Estimates
Once you’ve started your mortgage application, understanding loan estimates is essential. After applying, lenders provide a Loan Estimate (LE) document. The LE outlines the key terms of the mortgage, anticipated payments, and closing costs. Recognizing the contents of this document helps you make an informed decision. Key elements often include:
- Loan amount: The total amount you will borrow.
- Interest rate: This affects your monthly payment and the loan's total cost over time.
- Monthly payments: Estimated payments based on the given interest rate and terms.
- Closing costs: Fees that you will need to pay to finalize the loan.
- Loan terms: The duration of the loan, typically 15 or 30 years.
Understanding these details allows you to compare different offers effectively and negotiate better terms.
Remember: Fees can vary greatly between lenders, so it is wise to scrutinize the Loan Estimate carefully.
Common Misconceptions Regarding Credit Scores
Understanding credit scores can be daunting, and many misconceptions abound. These myths can lead to confusion about what affects a credit score and the implications for mortgage approval. Addressing these misconceptions is crucial in helping individuals understand their credit profile better and empowering them to make informed decisions about home financing. Poor understanding can affect one's ability to navigate the mortgage process effectively. Clarifying these points can aid in reducing anxiety surrounding the credit evaluation process and improve financial planning for borrowing.
Myths About Credit Scores
There are numerous myths surrounding credit scores that can mislead borrowers. Here are some prevalent ones:
- Checking Your Credit Report Lowers Your Score: Some people believe that checking their own credit report negatively impacts their score. This is false. When you check your own report, it is a soft inquiry and has no effect on your credit score.
- Closing Old Accounts Improves Your Score: Another myth is that closing old credit accounts will enhance your score. In reality, closing accounts can shorten your credit history, which might lower your score, especially if those accounts had positive payment histories.
- All Debt Affects Your Credit Score Equally: Not all debt is treated the same by credit scoring models. Installment loans and revolving credit accounts affect your score differently. Understanding this distinction is vital for managing your credit score effectively.
- Paying Off Debt Will Immediately Boost Your Score: While reducing debt helps your score over time, immediate results are not guaranteed. Other factors like credit utilization and payment history also play significant roles in scoring models.
Fact vs. Fiction
It is essential to differentiate between facts and fiction concerning credit scores. Doing so allows potential borrowers to focus on actions that will truly benefit their credit health:
- Fact: Payment history is the most significant factor. About 35% of your credit score comes from your payment history. Consistently making payments on time is vital.
- Fiction: You need a perfect score to get a mortgage. While higher scores lead to better rates, many lenders offer favorable terms for borrowers with fair scores.
- Fact: Credit utilization should ideally remain below 30%. This means if you have a credit limit of $10,000, you should not carry a balance above $3,000.
- Fiction: All lenders use the same credit scoring model. Different lenders may use varied scoring models, which can lead to different scores depending on the model in question.
"Understanding these misconceptions is critical for anyone considering a mortgage, especially those with fair credit scores. Being misinformed can lead to unnecessary hindrances in securing financing."
Each myth and fact reveals the nuances of acquiring a mortgage. Clarity and education are powerful tools in the journey to achieving homeownership.
The Role of Credit Counseling
Credit counseling serves an essential function for individuals navigating the complexities of credit, especially those with a fair credit score seeking mortgage approval. The insights provided by credit counselors can illuminate paths toward improving credit scores and, consequently, mortgage opportunities. They offer guidance that helps borrowers understand how their credit scores affect their financial options. This guidance is crucial when considering significant investments like a home.
Furthermore, credit counseling can equip individuals with strategies to enhance their financial habits. This leads to better credit scores over time, which plays a vital role in securing favorable mortgage terms.
What is Credit Counseling?
Credit counseling is a service that provides individuals with advice and support related to credit management. It typically involves a thorough assessment of a person’s financial situation, including income, debts, and credit history. Credit counselors help consumers develop a clear understanding of their financial health. They can assist in creating a personalized budget that incorporates managing existing debts and improving credit scores.
Counseling sessions may happen in person, over the phone, or online. The duration and content of each session vary based on the individual's needs. In essence, credit counseling aims to empower consumers with knowledge and practical tools for better financial decision-making.
Benefits of Seeking Professional Help
Engaging with a professional credit counselor can provide several significant advantages:
- Customized Financial Plans: Credit counselors can develop tailored plans that address specific financial situations, maximizing effectiveness.
- Debt Management Strategies: They offer insights and strategies to manage or reduce debt, including negotiation with creditors for better terms.
- Improved Credit Understanding: Credit counselors help demystify credit scores and their impact on mortgage applications, so individuals can make informed decisions.
- Support and Accountability: Regular counseling sessions offer ongoing support, encouraging individuals to stay on track with financial goals.
"Understanding your credit is the first step towards financial empowerment."
Overall, credit counseling can be an invaluable resource for those working to improve their fair credit scores. The insights gained can significantly affect one’s eligibility for mortgage approval and the types of mortgage products available. Connecting with a reputable credit counseling service can pave the way for more favorable financial outcomes.
Navigating the Mortgage Market with Fair Credit
Navigating the mortgage market with a fair credit score can seem daunting, but understanding the process can ease anxieties. Fair credit often leads to a narrower range of options compared to those with excellent scores. However, it does not preclude you from securing a mortgage, if you take the right steps. This section outlines key components of navigating this landscape, emphasizing the significance of researching lenders, comparing offers, and negotiating terms.
Researching Lenders
When you have a fair credit score, the first step is selecting lenders carefully. Not all lenders have the same criteria for approval. Some specialize in assisting borrowers with fair credit. Therefore, seeking out those lenders can increase your chances of secureing a mortgage. Start by looking for local and national banks that are known for more flexible underwriting standards. Utilizing online resources can also provide insights into lender reputations and their history with similar borrowers.
Key points to consider while researching:
- Look for lenders that offer specialized programs for fair credit.
- Consider credit unions, as they may have more favorable terms.
- Seek reviews from other borrowers to gauge experiences.
Comparing Offers
Once you have a list of suitable lenders, comparing offers is crucial. Even small differences in interest rates can have significant long-term financial implications. Start by collecting Loan Estimates from each lender. These estimates will highlight interest rates, closing costs, and monthly payments.
When comparing offers, take note of the following:
- Interest Rates: A lower rate can save significant money over the loan's life.
- Loan Terms: Understand both the length of the loan and whether it is fixed or adjustable.
- Fees: Be aware of origination fees and any other closing costs that can add to your total.
By systematically comparing these aspects, you can ensure you are making a well-informed decision that aligns with your financial situation.
Negotiating Terms
Negotiation is often overlooked in the mortgage process, but it can be a powerful tool to help improve your deal. When you find an offer that you like, don’t hesitate to ask the lender for better terms. Many lenders are willing to negotiate, especially if you can provide conditional proof of better offers from others.
Consider the following strategies for negotiation:
- Show Competing Offers: If you have better terms from different lenders, present these to strengthen your case.
- Discuss Down Payment Options: Sometimes, offering a larger down payment can lead to more favorable terms.
- Ask about Waiving Fees: Many lenders can offer to waive certain fees in exchange for a higher interest rate.
Ultimately, effective negotiation can lead to substantial savings and better mortgage conditions.
Effective navigation of the mortgage market involves research, comparison, and negotiation. These elements can enhance your ability to secure a suitable mortgage, regardless of a fair credit score.
Finale
In this article, we have explored the significant impact of having a fair credit score when applying for a mortgage. Understanding how credit scores operate is critical as they play a defining role in assessing an individual’s financial reliability. A fair credit score can open up various mortgage options, though it may limit access to the best interest rates and loan terms.
It is important to emphasize the benefits of knowing your credit standing. First, it enables individuals to identify areas of improvement, ensuring that they can optimize their financial health before entering the mortgage market. Second, being informed leads to smarter decisions regarding lenders and loan products. This understanding can ultimately facilitate the quest for homeownership, ensuring one navigates the complexities with confidence and knowledge.
Moreover, there are considerations to bear in mind: varying lender criteria, the need for a more substantial down payment, and potentially elevated fees might all come into play. Hence, being prepared with information prior to applying cannot be overstated.
"A fair credit score is not a barrier, but a starting point for negotiation in the mortgage landscape."
Recap of Key Points
- Definition of Fair Credit Score: A fair credit score typically ranges from 580 to 669, which can influence loan eligibility and terms.
- Impact on Mortgage Approval: Lenders view fair credit scores as a modest risk, resulting in cautious lending practices, including potentially higher interest rates.
- Types of Loans Available: Options like FHA loans or VA loans can be beneficial for those with fair credit, often accommodating those with lower credit scores.
- Strategies for Improvement: Timely payments, reducing outstanding debts, and limiting new credit inquiries are essential for enhancing one's credit score.
- Preparation for Application: The gathering of necessary documents and understanding of the preapproval process are vital before engaging in the mortgage application.
Final Thoughts on Homeownership
Homeownership remains a pivotal goal for many, symbolizing stability and investment in one’s future. For those with fair credit scores, the road may appear challenging. However, it is crucial to realize that the landscape is not entirely bleak. By taking proactive measures to improve their creditworthiness and by researching diverse mortgage options, individuals can still achieve this goal.
The journey towards ownership requires planning and strategizing. Leveraging resources such as credit counseling and being informed about contractual terms can yield positive results. Seeking professional advice, especially when struggling with credit issues, can pave the way for better outcomes. Ultimately, while a fair credit score may limit choices, it does not eliminate them. With concerted effort and the right knowledge, homeownership can be within reach.
