What Credit Score Do You Really Need To Buy a Home?

Here’s something that may surprise you: According to Fannie Mae, 90% of buyers either overestimate the credit score needed or don’t know what lenders are actually looking for.

Let that sink in for a second. That means many aspiring homebuyers assume they need near-perfect credit to qualify—when in reality, they might already be in a great spot to buy.

So if you’ve been thinking a home is out of reach because of your score, let’s take a moment to look at what the numbers really say.

There’s No One Magic Number

There’s no set-in-stone credit score that automatically qualifies (or disqualifies) you from buying a home. Different loan types have different ranges—and that flexibility could mean more possibilities than you thought.

Take a look at the median credit scores for recent buyers, broken down by loan type. You’ll see there’s no single “right” number—and that’s good news.

As FICO explains:

“While many lenders use credit scores like FICO Scores to help them make lending decisions, each lender has its own strategy, including the level of risk it finds acceptable. There is no single ‘cutoff score’ used by all lenders, and there are many additional factors that lenders may use . . .”

This is exactly why having a conversation with a trusted lender is key. They’ll help you understand your options based on the full picture—not just your score.

Why Your Score Still Matters

While there’s no universal minimum, your credit score still plays an important role in shaping the types of loans you qualify for, your loan terms, and even your mortgage rate.

That matters—because your rate directly affects your monthly payment and how much home you can comfortably afford.

As Bankrate puts it:

“Your credit score is one of the most important factors lenders consider when you apply for a mortgage. Not just to qualify for the loan itself, but for the conditions: Typically, the higher your score, the lower the interest rates and better terms you’ll qualify for.”

So even if your score isn’t perfect, that doesn’t mean buying a home is off the table—it just means there’s an opportunity to explore the best path forward for you.

Want To Boost Your Score? Start Here

If you connect with a lender and decide you want to work on strengthening your score (and improve your loan options along the way), here are a few smart steps you can take, according to the Federal Reserve Board:

• Pay Your Bills on Time
Timely payments are a big factor in your credit health. This includes everything—credit cards, utilities, and even your phone bill. On-time payments build trust with lenders.

• Pay Down Debt
Lowering your credit utilization (how much of your available credit you’re using) can give your score a boost. The less debt you carry, the better.

• Review Your Credit Report
Grab copies of your report and check for any errors or outdated information. Fixing mistakes can sometimes lead to a score increase.

• Hold Off on Opening New Accounts
Opening new credit lines may seem helpful, but it can temporarily ding your score. Avoid multiple new applications before applying for a mortgage.

Bottom Line

You don’t need perfect credit to become a homeowner. But understanding your score—and knowing how to improve it—can help you unlock better loan options and more purchasing power.

If you're wondering where you stand or what next steps make the most sense for you, we’re here to help connect you with trusted local lenders who can guide you through the process.

Let’s find your path to homeownership—together.