Most lenders want a credit score of 620 or higher, but the real number depends on the loan type and your down payment

There is no single credit score requirement for buying a house. Conventional loans — mortgages from private lenders that are not backed by the government — typically require a score of 620 at minimum, though many lenders prefer 640 or higher. FHA loans (Federal Housing Administration) allow scores as low as 500 if you put down 10 percent, or 580 if you put down 3.5 percent. VA loans (for military members and veterans) and USDA loans (for rural properties) have no official minimum score, though most lenders still want to see 620 or above.

The score that matters is what lenders call your middle score — the middle number when three credit bureaus (Equifax, Experian, and TransUnion) each report a score on you. Lenders ignore the highest and lowest of the three. Your score also affects the interest rate you receive: a score of 620 might get you a rate 1 to 2 percentage points higher than a score of 740, which adds thousands of dollars to what you pay over the life of the loan.

Key Takeaways

  • Conventional loans require a minimum score around 620, but scores of 640 or higher get better interest rates and approval odds.
  • FHA loans allow scores as low as 500 with a 10 percent down payment, or 580 with a 3.5 percent down payment.
  • Your middle credit score — the middle number from three bureaus — is what lenders use, not your highest or lowest.
  • A score below 620 does not close all doors; credit unions, portfolio lenders, and some FHA programs work with lower scores, though rates will be higher.
  • Lenders also look at your debt-to-income ratio, payment history, and down payment size, so credit score alone does not determine approval.

How lenders use your credit score to decide

Lenders pull your credit report and score to measure risk — specifically, how likely you are to stop paying the mortgage. A higher score signals you have paid past debts on time and do not carry too much debt relative to your income. A lower score suggests you have missed payments, defaulted on accounts, or have high balances on credit cards.

The score is one piece of a larger picture. Lenders also look at your debt-to-income ratio (how much you owe each month divided by your gross monthly income), your employment history, your down payment size, and whether you have cash reserves after closing. Someone with a 640 score and a 3 percent down payment may be denied, while someone with a 620 score and 20 percent down may be approved. The score matters, but it is not the only gate.

Conventional loans and the 620 baseline

A conventional loan is a mortgage sold to investors on the secondary market — Fannie Mae and Freddie Mac are the largest buyers. These loans have standardized rules, and 620 is the floor most lenders will go. However, lenders often impose their own minimums above that. Many require 640 or 660, especially if your down payment is small or your debt-to-income ratio is high.

The interest rate you receive depends heavily on your score band. Lenders typically price loans in 20-point increments: 620–639, 640–659, 660–679, and so on. Moving from the 620–639 band to the 660–679 band can lower your rate by 0.5 to 1 percentage point. On a $300,000 loan, that difference is roughly $100 to $200 per month, or $36,000 to $72,000 over 30 years.

FHA loans for lower credit scores

FHA loans are government-backed mortgages designed for borrowers who cannot meet conventional loan standards. The FHA does not set a minimum score itself; instead, it sets insurance requirements, and individual lenders decide their own minimums. Most lenders will go as low as 580 with a 3.5 percent down payment, and some will go to 500 with a 10 percent down payment.

FHA loans require mortgage insurance — an extra monthly payment that protects the lender if you default. The insurance premium depends on your score and down payment. With a score below 580 and a 3.5 percent down payment, you pay both an upfront insurance fee (1.75 percent of the loan amount) and an annual premium (0.55 percent of the loan balance per year). This adds significant cost, but for borrowers who cannot get a conventional loan, it is often the only path forward.

VA and USDA loans with no official minimum

VA loans (for veterans, active-duty service members, and surviving spouses) and USDA loans (for properties in rural areas) have no official credit score minimum set by the government. However, most lenders still require 620 or higher because they use their own risk models. Some credit unions and portfolio lenders (lenders who keep loans on their own books rather than selling them) will go lower — sometimes to 580 or 600 — but rates will be higher and down payment requirements stricter.

VA loans have the advantage of allowing zero down payment and no mortgage insurance, which makes them powerful tools even with a lower score. USDA loans also allow zero down payment but do require a may provide fee (similar to mortgage insurance). If you are a veteran or buying in a rural area, asking lenders specifically about their score requirements is worth doing, because the official rules are more flexible than conventional lending.

What happens if your score is below 620

A score below 620 does not mean you cannot buy a house, but your options narrow and your costs rise. You may still be able to work with credit unions, which often have looser underwriting standards than banks. Some credit unions will lend to members with scores in the 580–620 range at rates only slightly higher than conventional loans. Portfolio lenders — small banks or mortgage companies that keep loans on their books — also sometimes work with lower scores.

Another option is to wait and improve your score before applying. Paying down credit card balances, correcting errors on your credit report, and making all payments on time for six months to a year can raise your score by 50 to 100 points. The time spent improving your score often saves more money in interest than rushing into a loan at a higher rate.

If you need to buy now, an FHA loan is usually the most realistic path. Even with a score below 580, some lenders will work with you, though you will pay higher insurance premiums and may need a larger down payment or a co-signer.

How to check your score before you apply

You can check your credit score for free through several channels. AnnualCreditReport.com (the official government site) provides one free credit report per year from each bureau, though it does not include your score. Credit Karma, NerdWallet, and Discover (even if you do not have a Discover card) all offer free score estimates. These are usually close to your actual score, though they may use different scoring models than lenders do.

The most accurate picture comes from pulling your own report and score directly from the bureaus or asking a mortgage lender to pull it for you. When a lender pulls your score, they use the same FICO Score model that most mortgage lenders rely on. Checking your own score does not hurt it, but multiple lender inquiries within 14 days count as a single inquiry, so you can shop around without penalty.

Frequently Asked Questions

Will a 620 credit score get me approved for a mortgage?

A 620 score meets the minimum for most conventional and FHA loans, but approval also depends on your down payment, debt-to-income ratio, and employment history. Lenders use 620 as a floor, not a may provide. You may be approved, or you may be asked to provide a larger down payment or reduce your debt before reapplying.

Does my credit score affect the interest rate I pay?

Yes, significantly. A score in the 620–639 range might receive a rate 1 to 2 percentage points higher than a score of 740 or above. On a $300,000 loan, that difference costs $100 to $200 per month. Over 30 years, it adds $36,000 to $72,000 to your total cost.

Can I get a mortgage with a score below 600?

It is difficult but not impossible. FHA loans allow scores as low as 500 with a 10 percent down payment, though most lenders prefer 580 or higher. Credit unions and portfolio lenders sometimes work with scores in the 580–600 range. Rates and fees will be higher, and you may need a co-signer or larger down payment.

How long does it take to improve my credit score enough to buy?

Paying down credit card balances and making all payments on time typically raises your score by 50 to 100 points within six months to a year. The exact timeline depends on what is dragging your score down — recent missed payments take longer to recover from than high balances.

What is the difference between my credit score and my credit report?

Your credit report is a detailed record of your borrowing and payment history. Your credit score is a three-digit number (usually 300–850) calculated from that report. Lenders look at both: the score to make a quick risk assessment, and the report to understand the details behind the number.