Credit score targets by loan type
These are common program benchmarks. Individual lenders often set higher minimums, called overlays.
| Loan type | Common credit score benchmark |
|---|---|
| FHA | 580+ for 3.5% down; 500–579 may qualify with 10% down |
| Conventional | 620 is a common lender minimum, though automated underwriting no longer always requires one |
| VA | No program-wide minimum; many lenders look for 580–620 |
| USDA | No program-wide minimum; 640 is common |
A higher score doesn't just help you qualify. It can lower your interest rate and mortgage insurance costs, which adds up over the life of the loan.
What mortgage lenders review
- Payment history: recent late payments, especially on housing payments, draw close scrutiny
- Collections and charge-offs: lenders may require some to be paid or explained
- Utilization: high card balances lower your score and raise your debt-to-income ratio
- Recent inquiries and new accounts: avoid opening new credit while preparing to buy
- Disputed accounts: open disputes can delay automated underwriting, so timing matters
Our mortgage-ready plan
- Identify the loan type and score your lender needs
- Dispute inaccurate items early, so they're resolved before you apply
- Bring card utilization down, ideally under 10%, before your lender pulls credit
- Avoid new hard inquiries and accounts
- Coordinate with your loan officer on any open disputes before underwriting
Frequently asked questions
What credit score do I need to buy a house?
It depends on the loan. FHA allows 580 with 3.5% down, conventional loans commonly use 620 as a benchmark, and VA and USDA lenders often look for 580–640. Lenders can set higher minimums.
How long before buying a house should I start?
Ideally 6–12 months before you plan to apply, so disputes are resolved and utilization improvements show up on your reports.
Can open disputes delay my mortgage?
Yes. Some lenders and automated underwriting systems flag disputed accounts, so we time disputes to be resolved before your application.
Sources
Last updated October 22, 2026. Educational information only, not legal advice.