What Credit Score Do I Need to Buy a House?

There is no single magic credit score for buying a house. Each loan type has its own minimum, and above those floors, the best rates go to the highest scores. The score you have determines not just whether you are approved, but how much you pay every month for the next 30 years. Here are the real thresholds by loan type, what score unlocks the best rate, and how much a higher score is actually worth.

Minimum scores by loan type

The floor depends on the loan program:

FHA is the most forgiving: a 580 score qualifies for the minimum 3.5% down payment, and scores from 500 to 579 can still qualify with 10% down. Conventional loans usually want 620 or higher, though a large down payment can offset a weaker score. VA and USDA have no official minimum, but individual lenders commonly set their own floor around 620 to 640.

The score that gets the best rate

Meeting the minimum gets you in the door; a high score gets you the cheap rate. To unlock the lowest advertised rates and best PMI pricing, aim for 760 or higher. That is the top pricing tier at most lenders.

The rate gap between a 660 and a 760 score can exceed half a percentage point — and it compounds. On a $400,000 loan, the difference between 6.5% and 7.0% is about $133 a month, or nearly $48,000 over 30 years. Your credit score is effectively the biggest "fee" most buyers pay without realizing it.

How a higher score changes your payment

Using a $400,000, 30-year loan, here is roughly how the monthly principal-and-interest payment shifts with rate:

A full percentage point of rate — often the spread between a mediocre and an excellent score — is worth about $97,000 over the life of this loan. That is why improving your score before applying is one of the highest-return moves in home buying.

How to raise your score before buying

You do not need a perfect 800. But moving up one pricing tier can save tens of thousands of dollars, and there are concrete steps that move the needle in 3 to 6 months:

• Pay every bill on time. Payment history is the single biggest factor in your score. One 30-day late payment can drop you 60 to 100 points.
• Lower credit card balances. Keep utilization under 30% of limits, ideally under 10%. This is the fastest lever most people can pull.
• Do not open new credit. Avoid new cards, auto loans, or other hard inquiries in the 3 to 6 months before you apply — they can each cost you points.
• Check your report for errors. Dispute mistakes with the bureaus before applying; a wrong late payment or collection can silently suppress your score.
• Keep old accounts open. Length of credit history helps, so do not close your oldest card even if you rarely use it.

Even 20 to 30 points can move you into a better rate tier. If you are close to a threshold like 740 or 760, a few months of disciplined credit use can pay for itself many times over.

Frequently asked questions

Can I buy a house with a 600 credit score?

Yes. FHA accepts 580 and above for the 3.5% minimum down payment, and some conventional lenders work with 620. A 600 score qualifies, but expect a higher rate and higher PMI.

What credit score gets the best mortgage rate?

760 or higher. That is the top pricing tier at most lenders and unlocks the lowest advertised rates.

Does a 20-point difference matter?

It can, if it crosses a pricing threshold. Moving from 740 to 760, or 700 to 720, often shifts you into a better rate or lower PMI tier — worth thousands over the loan.

Will checking my credit hurt my score before applying?

Checking your own score is a soft inquiry and does not hurt. But rate-shopping causes hard inquiries — keep your applications within a 14- to 45-day window so they count as one.

See how a different rate changes your payment on the HomeMath mortgage calculator before you lock in a score-dependent rate.