The short answer: most lenders want a credit score of at least 620 for a conventional mortgage, but you can buy a house with a score as low as 500 through an FHA loan with a 10% down payment. Government-backed VA and USDA loans have no official minimum, though lenders typically look for 580 to 620. The higher your score, the lower the interest rate you'll be offered — and that difference is worth tens of thousands of dollars over the life of the loan.
Buying a home is likely the largest purchase you'll ever make, and your credit score quietly shapes almost every part of the deal: whether you're approved, how much you can borrow, the size of your down payment, and the interest rate that determines your monthly payment for the next 15 to 30 years. Let's break down exactly what score you need for each loan type and what your number actually buys you.
Minimum Credit Score by Mortgage Type
Not all mortgages are created equal. Each loan program sets its own credit floor, and individual lenders often layer their own stricter "overlay" requirements on top. Here's how the major loan types compare in 2026:
| Loan Type | Minimum Score | Typical Down Payment | Best For |
|---|---|---|---|
| FHA Loan | 500 (10% down) / 580 (3.5% down) | 3.5%–10% | First-time buyers, lower credit |
| Conventional Loan | 620 | 3%–20% | Buyers with solid credit |
| VA Loan | No set minimum (lenders want ~580–620) | 0% | Veterans & active military |
| USDA Loan | No set minimum (lenders want ~640) | 0% | Rural & suburban buyers |
| Jumbo Loan | 700–740 | 10%–20% | High-value properties |
Keep in mind that the minimum score gets you in the door — it doesn't get you a good rate. A 580 FHA borrower will pay noticeably more in interest and mortgage insurance than a 720 borrower on the same home.
How Your Credit Score Affects Your Mortgage Rate
Lenders price mortgages in credit score "tiers." Move up a tier and your rate drops; slip down one and it climbs. The jumps aren't trivial. Here's a realistic illustration of how rate and cost change on a $320,000, 30-year fixed mortgage at 2026 market levels:
| Credit Score | Estimated APR | Monthly Payment | Total Interest Paid |
|---|---|---|---|
| 760–850 | 6.45% | $2,012 | $404,300 |
| 700–759 | 6.72% | $2,068 | $424,500 |
| 680–699 | 6.95% | $2,116 | $441,800 |
| 640–679 | 7.38% | $2,210 | $475,500 |
| 620–639 | 7.84% | $2,312 | $512,300 |
The takeaway is striking: a borrower at the bottom tier pays roughly $300 more every month and over $100,000 more in interest than a top-tier borrower on the exact same house. Raising your score from 620 to 760 before you apply is one of the highest-return financial moves available to a homebuyer.
Not Sure Where Your Score Stands?
Use our free Credit Score Estimator to see where you fall and exactly which mortgage tier you qualify for — no hard inquiry, no impact on your credit.
Check Your Credit Score FreeWhat Lenders Look At Besides Your Credit Score
Your credit score opens the door, but it's not the whole picture. Mortgage underwriters evaluate your full financial profile, and a strong showing elsewhere can offset a middling score:
- Debt-to-income (DTI) ratio: Most lenders want your total monthly debt payments below 43% of gross income. The lower, the better.
- Down payment: A larger down payment reduces the lender's risk and can compensate for a lower score — and it helps you skip or shrink mortgage insurance.
- Cash reserves: Having two to six months of mortgage payments in savings reassures underwriters you can weather a financial hit.
- Employment history: A steady two-year work history in the same field signals reliable income.
- Credit history depth: Lenders look at how long you've managed credit and whether you have recent late payments, collections, or a bankruptcy.
How to Raise Your Credit Score Before You Apply
If your score isn't where you want it, you have more leverage than you think. Many buyers can gain 30 to 60 points in three to six months with focused effort:
Pay down revolving balances
Credit utilization — how much of your available credit you're using — accounts for about 30% of your score. Getting each card below 30% of its limit, and ideally below 10%, can produce a fast jump. This is usually the single quickest lever.
Never miss a payment
Payment history is 35% of your score. Set every account to autopay at least the minimum so a forgotten due date can't undo months of progress. A single 30-day late payment can drop a good score by 50 to 80 points.
Dispute errors on your credit report
Roughly one in five credit reports contains an error serious enough to affect a score. Pull your free reports at annualcreditreport.com and dispute anything inaccurate — wrong balances, accounts that aren't yours, or paid debts still showing as open.
Don't open or close accounts before applying
New credit applications create hard inquiries and lower your average account age. Closing an old card erases available credit and shortens your history. In the 6–12 months before a mortgage application, keep your credit profile stable.
Can You Buy a House With Bad Credit?
Yes — but it costs more. With a score in the 500s, your realistic path is an FHA loan with a 10% down payment, and you should expect a higher rate plus mortgage insurance premiums for the life of the loan. Some buyers in this situation choose to rent for another year, aggressively repair their credit, and reapply once they cross into the 660–700 range. Running the numbers both ways — buy now at a high rate versus wait and buy at a lower one — is well worth the effort before you commit.
It's also worth talking to more than one lender. Credit overlays vary, and a score that one bank rejects may be perfectly acceptable to a credit union or a lender that specializes in FHA loans.
The Bottom Line
You don't need perfect credit to buy a house, but your score has an outsized effect on what that house actually costs you. Aim for at least 620 to access conventional financing, and push toward 740–760 if you can — that's where the savings become dramatic. Before you start house hunting, check your score, fix what's fixable, and compare offers from multiple lenders. A few months of preparation can save you the price of a car, or more, over the life of your mortgage.
Frequently Asked Questions
What is the lowest credit score to buy a house?
The lowest credit score that can buy a house is generally 500, which qualifies for an FHA loan with a 10% down payment. With a 3.5% down payment, FHA loans require a 580 score. VA and USDA loans have no government-set minimum, but most lenders look for at least 580 to 620.
Can I buy a house with a 600 credit score?
Yes. A 600 credit score qualifies for FHA, VA, and USDA loans with most lenders, and some conventional lenders will approve scores at 620. Expect a higher interest rate and possibly a larger down payment than a borrower with a 740+ score.
What credit score gets the best mortgage rate?
A credit score of 760 or higher typically unlocks the lowest mortgage rates lenders offer. Most pricing tiers max out around 760–780, so improving your score beyond that point usually does not lower your rate further.
Does checking my credit score hurt it before buying a house?
No. Checking your own credit is a soft inquiry and never affects your score. When you apply with multiple mortgage lenders, the hard inquiries within a 45-day window are counted as a single inquiry by modern scoring models, so rate shopping is safe.