What credit score do you need to buy a house?

Most people know they need good credit to buy a house. But good credit means very different things depending on the loan type.

Minimum Credit Scores by Loan Type

Loan Type	Minimum Score	Best Rates
Conventional	620	740+
FHA Loan	580 (3.5% down)	680+
VA Loan (veterans)	No minimum (~620)	720+
USDA Loan (rural)	640	700+
Jumbo Loan ($800k+)	700	760+

How Your Score Affects Your Rate

On a $300,000 mortgage over 30 years, the difference between a score of 760 or higher and a score in the low 620s is roughly $368 more per month, or about $132,000 over the life of the loan, using the estimated rates below. Actual rates vary by lender and market.

Credit Score	Est. APR	Monthly Payment	Total Interest
760–850	~6.50%	~$1,896	~$383,000
700–759	~6.75%	~$1,946	~$400,000
660–679	~7.40%	~$2,077	~$448,000
620–639	~8.30%	~$2,264	~$515,000

How to Improve Your Score Before Buying

• Pay down credit card balances — lowering your utilization can raise your score noticeably, sometimes within one or two billing cycles
• Do not close old accounts — account age matters. Old cards still help your average account age
• Dispute errors — about 1 in 5 consumers found an error on at least one credit report in an FTC study. Check at AnnualCreditReport.com — it is free
• Do not apply for new credit 6-12 months before buying — each application is a hard inquiry

A Recent Change for Conventional Loans

For years, 620 was the standard minimum score for conventional loans backed by Fannie Mae and Freddie Mac. Since November 2025, those two companies no longer require a fixed minimum score and judge each application on overall credit risk instead. In practice, most lenders still set their own minimum, often around 620, so treat 620 as a practical floor rather than a rule.

Which Score Do Lenders Use?

Lenders usually pull your score from all three credit bureaus and use the middle one, not the highest. If you apply with a partner, they typically use the lower of your two middle scores. These scores can also differ from the free ones in banking apps, because mortgage lenders use specific scoring models. Ask your lender which score they will use before you start improving it.

What Lenders Look at Besides Your Score

• Debt-to-income ratio: how much of your monthly income is already committed to debt
• Down payment: a larger down payment can offset a lower score
• Employment and income history: usually two years of steady work
• Cash reserves: savings left after closing, often counted in months of payments

A Realistic Timeline to Raise Your Score

• 1 to 3 months: pay credit card balances down and fix any errors on your reports
• 3 to 6 months: keep every payment on time and avoid new accounts. Lower utilization shows up quickly, but payment history builds slowly
• 6 to 12 months: a clean record is what moves a score into a better rate tier. Older negative items fade slowly with time

Checking your own score does not hurt it. Shopping for a mortgage with several lenders in a short window is usually counted as a single inquiry, so compare offers within a couple of weeks.