Professional Home Staging and Photography Blog: FICO Score Requirements for Mortgages Lowered

FICO Score Requirements for Mortgages Lowered

FICO Score Requirements for Mortgages Lowered


We're opening doors for youHave you been out looking for a home in Southeastern Massachusetts, only to be held back by 'not quite high enough' credit scores?

Well, I have some good news for you. Mortgage lenders have quietly lowered the credit score bar. It's now possible to qualify for an FHA or VA mortgage with credit scores as low as 580!

The minimum credit score for conforming conventional mortgages is still 660, but those with credit scores as low as 620 may considered on a case-by-case basis.

Of course, there are strict guidelines that you must adhere to in order to qualify for an FHA or VA mortgage. One requirement is you must show a housing history (owned or rented) of at least 24 months in the past 36 months, and no more than 1 late housing payment in the last 24 months (no late housing payments in the past 12 months).

Also, just because your credit scores are above 580 doesn't mean you can qualify for an FHA or VA mortgage. There are other factors that must be considered – such as income, debt-to-income ratios, payment history, and more.

Other requirements do apply, so be sure to talk to your mortgage lender or broker to see if you can get pre-approved for a mortgage today. If you don't have one, I can recommend a couple of very good mortgage originators to you.


East Bridgewater, MA 02333
Phone: (508) 443-1332

Lew Corcoran, ASP®, IAHSP, IAHSP-CB
Accredited Home Staging Professional
Professional Real Estate Photographer

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Comment balloon 2 commentsLew Corcoran, ASP® • February 07 2014 06:55AM


I don't know a lender in my area that will lend to a buyer with a 580 credit score.  Their overlays are usually up to 640 for FHA and 620 for VA.

Posted by Lenn Harley, Real Estate Broker - Virginia & Maryland (Lenn Harley,, MD & VA Homes and Real Estate) about 5 years ago

Hi Lenn

I had read a recent article where a major mortgage lender announced that they have dropped their credit score requirements to 580 to be more in line with FHA.

I doubled checked with 2 mortgage brokers I like to use, and they both confirmed that their lenders have lowered the minimum required credit score to 580. 

It's usually up to the mortgage lender as to whether or not they want to be inline with FHA requirements. They can be more stringent than FHA if they want, but not less restrictive, and I'm sure many of them still have the required 620+ credit score overlays. 

It's always best to have your clients check with their mortgage lender to be sure they can qualify for a mortgage and to get a pre-approval before going out looking at homes.

Posted by Lew Corcoran, ASP®, Home Stager & Real Estate Photographer (Scena Home Staging & Decora Photography) about 5 years ago

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