You definitely want at least a 700 credit score. 750 is better. OK, maybe 700 is a bit optimistic. Certainly you want a minimum of 650. Bottom line, the higher the better.

Skip the banker, and go to an independent mortgage broker. They will find you the best deals. If you are a first time homebuyer, make sure they look at all available state and local first time homebuyer programs.

My mortgage broker found me 2 programs for first time homebuyers. One was a 30 year fixed loan with a below market interest rate, and the other was $25K to help with a downpayment.

Anything above 640 will get you a much better interest rate. Granted, if you’re at 700 that would be much nicer. but on average around 640 will be good.

You don’t need a 700, if that was the case, about 70% of Americans would rent. More like anything above 600 will probably work. It all depends on what you have to put down on the house (in the bank), what benefits you are eligible for (i.e. VA, etc.), and your debt to income (which affects your credit score too).

If you have enough money to put down, your credit score can be as low as 550 and you can still get approved. I agree that you should go to a mortgage broker though, normally your real estate agent will recommend a good one.

I got approved for 100% financing with a score just above 600 with a VA loan, so it’s possible. Try things like FHA, and other government programs if you want to do 100% financing, otherwise you should prepare to put at least 10% down on the house.

Pretty decent advice above. For the most part, if you have a pulse, you can get some kind of loan.

Qualifying for a loan is NOT just based on your credit (as mentioned). The amount and rate will depend on your credit, plus your assets, income and other debts.

Go to - right on the homepage it will give you some ideas of how your credit CAN impact your rate. Again, there are other factors.

Get prequalified with at least one trusted mortgage broker and probably shop one or two others until you find one you are comfortable with. Title companies and realtors can refer you to a good one locally. There is no doubt you can negotiate. Keep in mind, if your credit is bad, your income is bad and you don’t have much money to put down, you will not be able to talk your way into a good rate, but you can still negotiate.

Regards,

Joe…