Typical minimum scores by loan program
There is no single score that qualifies everyone. Each program has a baseline, and each lender can add its own requirements on top, often called overlays. These are typical figures, not guarantees.
- Conventional. Typically 620 minimum. Pricing improves as scores climb.
- FHA. 580 for 3.5% down. 500 to 579 with 10% down, though few lenders offer it.
- VA. The VA sets no minimum score. Lenders commonly look for 580 to 620.
- USDA. Lenders commonly look for about 640.
- Jumbo. Commonly 680 to 700 or higher, with larger down payments and reserves.
Meeting the minimum is only the first test. Your pricing depends on your score together with your down payment, the property and your debt-to-income ratio. For program details, see our guides to FHA loans and VA loans.
How your score tier affects rate and mortgage insurance
Lenders price loans in score bands. Moving up a band can lower your interest rate, and on conventional loans it can also lower the monthly private mortgage insurance (PMI) cost. A smaller down payment combined with a lower score generally means higher costs.
FHA works differently: its mortgage insurance is set by loan amount, term and down payment rather than score bands, but your score can still affect the rate you are offered. Because rates move daily, we do not quote them in a guide like this. See how mortgage rates work or ask for a personalized quote.
Raise your score before you apply
- Pay down credit card balances. Keeping each card under about 30% of its limit is a common target, and lower is usually better.
- Keep old accounts open. Closing them can shorten your credit history and reduce your available credit.
- Avoid new credit. Hold off on new cards, car loans and financing until after closing.
- Pay every bill on time. Payment history is the biggest factor in most scores.
- Dispute errors. Look for accounts that are not yours, wrong balances and duplicate collections, and file disputes with the bureaus.
You can get free reports from all three bureaus at annualcreditreport.com. Keep in mind that mortgage lenders use specific FICO versions, which can differ from the free scores in apps and card statements. Treat those as a rough guide, not your mortgage score.
Hard pull vs. soft pull in plain terms
A soft pull is a look at your credit that does not affect your score, such as checking your own report or a promotional prequalification offer. A hard pull happens when you apply for credit and a lender reviews your report to make a decision. It can lower your score by a few points for a short time.
A real mortgage pre-approval requires a credit check, so expect a hard inquiry. Multiple mortgage inquiries within a short shopping window are generally grouped together by scoring models, which makes comparing lenders reasonable. See our lender comparison guide and the documents you will need.
What to expect on timing
Results vary by file. Paying down balances may be reflected after your creditors report the new balance, often within one or two billing cycles. Correcting errors can take around 30 days or longer. Late payments, collections and similar events age off over a longer period, and their impact generally fades as time passes with good payment history.
No one can promise that a particular score will be reached by a certain date. A loan officer can review your report and tell you which steps are likely to matter most for your situation.
Not ready yet? Here is a path forward
If your score is below where you want it, you do not have to guess. Share your goals through the short form below and Ryan can review your options and suggest next steps, with no obligation to move forward.
You can also work with a HUD-approved housing counselor, who can help with credit, budgeting and homebuying readiness. Find an agency at hud.gov/counseling. Down payment help may also be available, see down payment assistance in Florida.