In 2017, your credit score directly dictated your interest rate (APR). For a 30-year fixed mortgage, the average differences were stark: : ~3.87% APR 700–759 : ~4.09% APR 620–639 : ~5.46% APR Comparing FHA Credit Score Requirements to Other Mortgages
: Most required a minimum of 620 . Only about 4% of approved conventional borrowers in early 2017 had scores below 650. FHA Loans : These offered the most flexibility: 580 for a 3.5% down payment. 500 if the borrower could provide a 10% down payment.
In 2017, the minimum credit score required to buy a house generally ranged from , though the "best" terms typically required a score of 740 or higher . While many programs theoretically allowed lower scores, the actual median FICO score for all approved mortgages in January 2017 was 722 . 2017 Minimum Score Requirements by Loan Type what credit score to buy a house 2017
: Reserved for high-value properties, these typically required a minimum of 700 to 720 . Average Scores of Approved Borrowers (January 2017)
Lenders used different benchmarks depending on the specific mortgage program: In 2017, your credit score directly dictated your
: Lenders generally looked for at least a 640 for automated approval, though manual underwriting was sometimes possible for lower scores.
The scores of people who actually closed on homes in 2017 were often significantly higher than the minimums: Average FICO Score 722 Conventional 752 FHA 686 VA 707 The Financial Impact of Your Score FHA Loans : These offered the most flexibility: 580 for a 3
: Technically had no government-mandated minimum, but most private lenders in 2017 enforced a baseline of 620 .