# What credit score do you need for a mortgage?

> Minimum credit scores for FHA, conventional, VA and USDA loans, how your score affects the rate and PMI, rate shopping, and how to raise a score.

URL: https://mortgage-math-us.com/buying/credit-score/  
Last reviewed: 2026-10-28 · By the MortgageMath US Editorial team

## Quick answer

FHA loans accept credit scores down to 500 with 10% down, or 580 and up with 3.5% down. Fannie Mae requires 620 for manually underwritten fixed-rate loans, while its Desktop Underwriter system has had no set minimum since November 2025. VA publishes no minimum score and USDA says its guaranteed loan has no credit score requirement, but lenders set their own. Above the minimum, a higher score generally buys a lower rate and cheaper PMI.

## Key facts

| Fact | Value | Source | As of |
|---|---|---|---|
| Lowest score FHA accepts (10% down) | 500 | [HUD Mortgagee Letter 2026-11](https://www.hud.gov/sites/default/files/hudclips/documents/2026-11hsgml.pdf) | Oct 8, 2026 |
| FHA score for the minimum down payment | 580 | [HUD Mortgagee Letter 2026-11](https://www.hud.gov/sites/default/files/hudclips/documents/2026-11hsgml.pdf) | Oct 8, 2026 |
| Fannie Mae minimum, manual underwriting | 620 | [Fannie Mae Selling Guide B3-5.1-01](https://selling-guide.fanniemae.com/sel/b3-5.1-01/general-requirements-credit-scores) | Apr 22, 2026 |
| Mortgage credit checks counted as one inquiry | 45 days | [CFPB](https://www.consumerfinance.gov/ask-cfpb/what-exactly-happens-when-a-mortgage-lender-checks-my-credit-en-2005/) | Aug 28, 2026 |

## Minimum credit scores by loan type

*Credit score rules by program*

| Loan type | Program minimum | What else to know |
|---|---|---|
| FHA | 500 with 10% down; 580 for 3.5% down | Below 500 isn’t eligible. Lenders may set higher minimums |
| Conventional, Fannie Mae manual underwriting | 620 for fixed-rate loans | Higher for adjustable-rate loans |
| Conventional, Fannie Mae Desktop Underwriter | No set minimum since November 2025 | The system weighs the whole file; low scores still cost more |
| VA | None published by VA | You must meet VA’s and the lender’s credit standards |
| USDA guaranteed | No credit score requirement, says USDA | You must show a willingness and ability to manage debt |

“No minimum” at the program level rarely means no minimum at the lender. Many lenders add their own floors, called overlays, so a lender that turns you down isn’t the last word. The [FHA loans guide](https://mortgage-math-us.com/loan-types/fha-loans/) covers the FHA rules in detail.

## Which score lenders use

Mortgage lenders usually pull a report and score from each of the three nationwide credit bureaus. When there are three scores, lenders generally use the middle one, and with co-borrowers the program’s rules decide whose score counts. FHA calls the result the minimum decision credit score.

The scoring models matter too. Mortgage scores often come from older versions of the models than the free scores in banking apps, so the number a lender sees can differ from the one you check. FHA has announced that, for case numbers assigned from January 1, 2027, lenders may also use FICO 10T and VantageScore 4.0 alongside Classic FICO, while keeping the three-bureau report and the same minimum scores.

## How your score affects the rate and PMI

Above the minimum, your score works as a price signal. Fannie Mae and Freddie Mac charge lenders loan-level price adjustments that depend on credit score and down payment, and lenders pass them on through the rate or points. Mortgage insurers price PMI on the same two factors. FHA’s annual mortgage insurance, by contrast, doesn’t vary with your score — which is why FHA can be the cheaper route for lower scores.

We don’t publish a score-to-rate table because pricing changes daily and differs by lender. What you can measure is how much each step in the rate costs:

> **Worked example: What a higher rate costs on a $300,000 30-year loan**
>
> | Rate | Principal and interest | Extra a month | Extra over 30 years |
> |---|---:|---:|---:|
> | Weekly average, 7.24% | $2,044 | — | — |
> | +0.25 point, 7.49% | $2,096 | +$51 | +$18,394 |
> | +0.5 point, 7.74% | $2,147 | +$103 | +$36,961 |
> | +1 point, 8.24% | $2,252 | +$207 | +$74,591 |
> 
> The base rate is Freddie Mac’s weekly average for borrowers with 20% down and strong credit. Each quarter of a percentage point costs about $51 a month here; try your own loan in the [mortgage payment calculator](https://mortgage-math-us.com/tools/mortgage-payment-calculator/).

PMI moves the same way. Freddie Mac’s typical range of $30–$70 a month per $100,000 means $90 to $210 a month on this loan, and credit score is one of the main things that sets where you land. See [PMI](https://mortgage-math-us.com/buying/pmi/) for how long it lasts.

## Shopping for a mortgage without hurting your score

Each lender that pre-approves you makes a hard inquiry. According to the CFPB, an inquiry typically has a small negative effect, and multiple mortgage credit checks count as a single inquiry as long as the last is within 45 days of the first. Shopping several lenders inside that window costs no more than applying once, and the CFPB notes that shopping can save a lot of money over the life of a loan.

What does hurt is other new credit. Applying for a car loan or credit card right before or during the mortgage process adds inquiries and debts. The [pre-approval guide](https://mortgage-math-us.com/buying/pre-approval/) lists the other changes that can derail an approval.

## How to raise your score before you apply

**How to improve your credit score for a mortgage**

1. **Get your reports** — You can check your report from each nationwide bureau free once a week at AnnualCreditReport.com.
2. **Dispute errors** — Wrong late payments, accounts that aren’t yours and outdated debts can be disputed with the bureau and the company that reported them.
3. **Pay every bill on time** — Payment history generally carries the most weight, and a recent late payment does the most damage.
4. **Lower card balances** — Paying revolving balances down relative to their limits is often the quickest legitimate improvement.
5. **Leave the rest alone** — Avoid new accounts in the months before you apply, and think twice before closing old cards.
6. **Ask about a rapid rescore** — If you pay down a balance or fix an error mid-application, your lender may be able to request an updated score.

Be wary of anyone promising to remove accurate negative information for a fee. Accurate items generally stay on your report; only time and good habits outweigh them.

## Options with a lower score

- **Compare FHA with conventional.** FHA’s insurance doesn’t rise with a lower score, while PMI does.
- **Put more down.** A larger down payment lowers the lender’s risk and can offset a lower score in pricing.
- **Lower your debts.** A lower [debt-to-income ratio](https://mortgage-math-us.com/buying/debt-to-income/) strengthens a file that automated systems weigh as a whole.
- **Wait and improve.** A few months of on-time payments and lower balances can move you up a pricing tier.
- **Talk to a HUD-approved housing counselor.** Free or low-cost help is available through HUD’s referral line, 800-569-4287.

The [buying a home hub](https://mortgage-math-us.com/buying/) puts credit in the context of the whole purchase.

## Frequently asked questions

### What is the minimum credit score to buy a house?

It depends on the loan. FHA accepts 500 with 10% down and 580 with 3.5% down. Fannie Mae requires 620 for manually underwritten fixed-rate loans, while its automated system has no set minimum. VA and USDA don’t set a program minimum, but lenders do.

### Can I get a mortgage with a 580 credit score?

Yes, typically through FHA, which allows its minimum 3.5% down payment from a score of 580. Individual lenders may require more, so compare several.

### Does shopping for a mortgage hurt my credit?

Only slightly. Multiple mortgage credit checks within 45 days of the first count as one inquiry, so you can compare lenders in that window without extra damage.

### Which credit score do mortgage lenders use?

Usually scores from all three nationwide bureaus, using the middle one when there are three. They are often older score versions than the ones in free apps, so expect a different number.

### How much does my credit score change my mortgage rate?

Pricing varies by lender and day, so there’s no single table. As a guide, every quarter of a percentage point on a $300,000 30-year loan at 7.24% adds about $51 a month. A better score also lowers PMI.

### How fast can I raise my credit score?

Correcting an error or paying down card balances can show up within a reporting cycle or two. Recovering from late payments takes longer. There’s no legitimate shortcut for removing accurate negative information.

## Sources

- [Freddie Mac Primary Mortgage Market Survey](https://www.freddiemac.com/pmms) — 30-year fixed rate, national weekly average (Week of Oct 29, 2026)
- [Freddie Mac My Home](https://myhome.freddiemac.com/buying/breaking-down-pmi) — Typical PMI cost, low end; Typical PMI cost, high end (Oct 28, 2026)
- [HUD Mortgagee Letter 2026-11](https://www.hud.gov/sites/default/files/hudclips/documents/2026-11hsgml.pdf) — FHA minimum decision credit score (90% LTV cap from 500 to 579); FHA minimum score for maximum financing (Oct 8, 2026)
- [CFPB](https://www.consumerfinance.gov/owning-a-home/prepare/figure-out-how-much-you-want-to-spend/) — Minimum FHA down payment (Oct 28, 2026)
- [Fannie Mae Selling Guide B3-5.1-01](https://selling-guide.fanniemae.com/sel/b3-5.1-01/general-requirements-credit-scores) — Fannie Mae minimum score, manually underwritten fixed-rate loans (Apr 22, 2026)
- [CFPB](https://www.consumerfinance.gov/ask-cfpb/what-exactly-happens-when-a-mortgage-lender-checks-my-credit-en-2005/) — Mortgage credit checks within this window count as one inquiry (Aug 28, 2026)
- [HUD](https://www.hud.gov/stat/sfh/housing-counseling) — HUD housing counseling referral line (Oct 28, 2026)
- [Fannie Mae Selling Guide Announcement SEL-2025-09 (minimum credit score removed for DU loans)](https://singlefamily.fanniemae.com/news-events/announcement-sel-2025-09-selling-guide-updates)
- [USDA Rural Development: Single Family Housing Guaranteed Loan Program](https://www.rd.usda.gov/programs-services/single-family-housing-programs/single-family-housing-guaranteed-loan-program)
- [VA: Purchase loan](https://www.va.gov/housing-assistance/home-loans/loan-types/purchase-loan/)
- [FTC: Free credit reports](https://consumer.ftc.gov/articles/free-credit-reports)

_General information, not financial advice._