Asked by Heidi  |  Submitted June 27, 2018

How do I go about buying a house with a credit score of 540?

Report Question Report

  Leave Answer

Sign in to MoneyTips
By submitting you agree to our Terms of Service

  Answers  |  1

June 27, 2018

Minimum credit scores needed to qualify for a mortgage vary from lender to lender. However, the Federal Housing Administration (FHA) loan was established to make homeownership accessible and affordable. To take advantage of the FHA's 3.5% down-payment option, you will need a score of 580 or higher. With your current score you will need to put more money down, at least 10%.

While you're reading, here are some other great articles filled with useful tips to improve your credit score:

How to Rebuild Your Credit Score Fast
5 Steps to Rebuild Your Credit
Build your Credit Score with a Secured Credit Card
5 Things Not to Do When Rebuilding Your Credit

$commenter.renderDisplayableName() | 09.22.20 @ 08:36