Credit scores, parking problems
Answers to real estate questions as appearing
in the Houston Chronicle
By george stephens, CRB, AND Charles J. "Chuck" Jacobus, JD
Dear George: I'm single and have worked at the same job for the past six years. I don't earn much, and my credit score is in the low 500s. What are the chance that I can get approval for a mortgage as a first-time buyer? Should I get a co-signer?
Answer: Working for the same employer for six years shows consistency, which is in your favor. However, most lenders will balk at a credit score in the low 500s. Here's a rough outline of what FICO credit scores mean to lenders:
700+: Excellent.
680-699: Good.
620-679: OK. You likely won't be denied a loan, but the terms may not be generous.
580-619: Banks and lenders are probably able to get you a loan, but it will be very expensive for you.
500-580: You're in trouble. You'll need some credit repair before you get a loan.
Below 500: You need to repair your credit now.
You should enroll in a credit-repair class with an organization that belongs to the Better Business Bureau. Try this before you enlist help from the co-signer. Raise your credit score before taking on more debt.
Dear George: We bought a home in a 125-unit gated community with only 15 guest parking spaces and no other space available. About half of the units are now sold, and we're already facing parking congestion. The builder is not responding to our requests for more parking spots. What can we do?
Answer: Assuming the builder complied with applicable statutes regarding the number of parking spaces, there's not much you can do. If the lack of parking bothered you and the number of spaces was disclosed before you bought, why on earth did you purchase your unit?
E-mail your question to "Ask George & Chuck" or fax it to 281/596-7591. The answers to questions in this column do not contain legal advice. If you wish to obtain legal advice, you should consult your own attorney.
George Stephens, CRB, is the broker of ERA Stephens Properties. He is licensed as a mortgage broker in Texas and a real estate broker in Texas, Georgia, and Massachusetts.
Charles J. Jacobus, JD, is board certified by the Texas Board of Legal Specialization in Residential and Commercial Real Estate Law, and the author of Texas Real Estate Law and Texas Real Estate, both published by Thomson Publishing. He also teaches at Champions School of Real Estate and Houston Community College, and is an adjunct professor at the University of Houston Law Center.
George and Chuck are co-authors of Texas
Real Estate Brokerage and Law of Agency published by Thomson Publishing.
