If you are getting ready to buy a house, one of the first questions you probably have is: what credit score do I actually need? The short answer is that most conventional loans ask for a score of 620 or higher. But the exact number changes based on the type of loan you use. FHA loans, VA loans, and USDA loans each have their own rules.
In this guide, we will walk through the minimum score for each loan type, what counts as a good score, and a few simple steps you can take to raise your score before you apply.
The Short Answer: Minimum Scores by Loan Type
Every loan program sets its own credit score rules. Here is a quick look at what most lenders ask for today.
| Loan type | Minimum score | Typical down payment |
|---|---|---|
| Conventional | No official minimum since November 2025, but most lenders still look for 620+ | 3% to 20% |
| FHA | 580 (or 500 with 10% down) | 3.5% (or 10%) |
| VA | No set minimum, most lenders still want 620+ (some go as low as 580) | 0% |
| USDA | No set minimum, lenders usually want 640+ | 0% |
Conventional loans used to have a hard cutoff of 620, set by Fannie Mae and Freddie Mac. In November 2025, both removed that hard cutoff from their automated underwriting systems. This does not mean a low score guarantees approval. Lenders still look closely at your credit, and most approved loans still land at 620 or higher, since a lower score usually needs strong backup, like a bigger down payment or low debt. Many individual lenders also keep their own 620 floor in place, so it is still a good number to aim for.
These numbers are typical, not fixed rules. Some lenders may ask for a higher score. Others may work with a slightly lower score if the rest of your application, like your income and savings, is strong. It always helps to check with more than one lender before you pick a loan.
Where Your Score Stands: Credit Score Ranges Explained
Your credit score usually falls somewhere between 300 and 850. Lenders group these numbers into ranges, and each range tells a different story about how you have handled credit in the past.
| Score range | What it means |
|---|---|
| 300 to 579 | Poor |
| 580 to 669 | Fair |
| 670 to 739 | Good |
| 740 to 799 | Very good |
| 800 to 850 | Exceptional |
Think of it like a discount tier at a store. A score of 620 gets you in the door for most loans. A score of 700 or higher is considered good and often comes with a better interest rate. A score of 740 or above usually unlocks the best rates a lender offers.
A Real Example: How Score Affects Your Monthly Payment
Let’s say two buyers each want to borrow $300,000 for a home with a 30 year fixed loan. Buyer A has a credit score of 620. Buyer B has a credit score of 760.
Because Buyer B has a stronger score, a lender will usually offer a lower interest rate. Even a small rate difference, like half a percentage point, can change the monthly payment by roughly $100. Over 30 years, that adds up to a large amount of money.
Note: This example is for illustration only. Real interest rates change often and depend on many things beyond your credit score, such as your income, your down payment, and current market conditions. Always ask a lender for a real quote based on your own situation.
Boost Your Score Before You Apply
If your score is not quite where you want it, a few simple habits can help you raise it before you apply for a loan.
- Pay down credit card balances. Try to use less than 30 percent of your available credit.
- Pay every bill on time. Your payment history has the biggest effect on your score.
- Avoid opening new credit accounts right before you apply. New accounts can lower your score for a short time.
- Check your credit report for mistakes. Wrong information can pull your score down without you even knowing it.
- Keep old accounts open. A longer credit history usually helps your score.
Small changes can start to show up in your score within 2 to 3 months. If you have more time before you plan to buy, that is even better. The more time you give yourself to build good habits, the more your score can improve.
Below 620? Here Are Your Options
A lower credit score does not always mean you have to wait to buy a house.
FHA loans are built for buyers with lower scores. You may qualify with a score as low as 500 if you can put down 10 percent, or 580 if you put down 3.5 percent.
A few other options to consider:
- Adding a co-signer who has a stronger credit history
- Taking out a small credit-builder loan to build up your payment history
- Working with a lender who has experience with first-time buyers
Keep in mind that a lower score usually comes with a higher interest rate. It is worth comparing offers from a few different lenders to see who can offer the best deal for your situation.
A Note for Bakersfield and Flathead Valley Buyers
Credit score rules are mostly the same everywhere, but local lenders and loan programs can vary a bit by area. Whether you are house hunting in Bakersfield, CA or looking at property in the Flathead Valley, MT, it helps to talk to someone who knows the local market and the lenders who work there. A local advisor can often point you toward loan programs you might not find on your own.
Common Questions About Credit Scores and Home Buying
Is 620 a good credit score to buy a house?
A 620 score is usually enough to qualify for a conventional loan, but it is on the lower end. Lenders usually consider 670 and above to be a good score, and 740 and above to be very good.
Can I buy a house with a 500 credit score?
Yes, this may be possible with an FHA loan if you can put down at least 10 percent. Your loan options will be more limited, and your interest rate may be higher, but it is not out of reach.
Does my spouse’s credit score count if we buy together?
Yes. When you apply for a mortgage together, lenders usually look at both credit scores. Some lenders use the lower of the two scores to decide loan terms, so it helps for both partners to work on their credit before applying.
Will checking my credit score hurt it?
No. Checking your own score is called a soft inquiry, and it does not affect your score. Only a hard inquiry, like when a lender pulls your credit for a loan application, can cause a small, temporary dip.
Ready to Take the Next Step? Talk to an Advisor
Your credit score is just one piece of the home buying puzzle. A local advisor can help you understand what you actually qualify for, walk you through your loan options, and guide you through each step of the process.
Contact the Lockhart Real Estate Advisors team today to get started. No pressure, just honest advice.