Click To View Links

Lowest credit score that can qualify for a home purchase

by Martin
(USA)



I have one question here. What is the very lowest credit score that I could possibly have and still be able to meet the mortgage loan qualifications for a new home purchase?

======ANSWER=====

Nice question here. Sadly, the lowest credit score lenders are allowing these days is no where near what it used to be. But when you think about, it is better for us all when the credit score requirements is higher since this indicates your ability to repay the mortgage.

At one time, I remember that people could buy a house with scores as low as 500. This was a sub-prime loan and these were the loans that began the fall of the banking system back a few years ago.

Because people with such low scores could buy a house, this created some serious problems in the mortgage market and thus the deflating of our property values.

Now it requires a 620 score to get a VA or FHA loan which has become the new sub-prime loans. If you had a 720 score you were the borrower who could get the lowest rates and best mortgage deals. Now even that is not enough, many lender are looking for 740 scores or better.

So hopefully this answers your question. Feel free to visit my page on VA loans since I can see you must be a in the service now.

Here's a couple of links to consider, credit repair VA Loans

Best Regards,

Jeff


Comments for Lowest credit score that can qualify for a home purchase

Click here to add your own comments

Lowest credit score
by: Laisha

Great question, I was wondering the same thing!

Click here to add your own comments

Return to Credit Questions.

New Jersey Grants

Click on Image to Learn More

South Carolina Grants

Click on Image to Learn More

Recent Articles

  1. Tallahassee Real Estate Broker | Jeff Ragan | Leon County Florida

    Jan 19, 17 03:51 PM

    I’m helping people buy & sell real estate in Florida and around the USA. Using the marketing tools at my disposal, I can help you purchase the home of your dreams or sell a home fast.

    Read More

  2. New Jersey Real Estate Agents - Find the Best Real Estate Agents in NJ

    Jan 18, 17 06:39 PM

    Looking for New Jersey Real Estate Agents? Find the best NJ Real Estate Agents and Brokers listed here in this FREE directory.

    Read More

  3. Finally FHA Gets the Point!!

    Jan 10, 17 03:50 PM

    Hello all my dear readers of this first time home buyers blog. I have some great news for you, finally FHA has figured out that first time home buyers are not using their loan product. As of January 9…

    Read More

Buyer Programs

fha loans

The FHA Loan Products

Home Buyer Grants

zero down home loans

Zero Down Home Loans


Follow Us On Twitter

follow me on twitter