Minimum credit scores in 2026: FHA loans require 580 (with 3.5% down) or 500 (with 10% down). Conventional loans require 620. VA and USDA loans have no official minimum but lenders typically want 620+. A 760+ score unlocks the best rates and saves $50,000–$100,000 over a 30-year loan.
Your credit score is the single biggest variable you control before applying for a mortgage. It determines whether you qualify, what loan type you can use, and — most importantly — the interest rate you pay for the next 30 years.
Minimum Credit Scores by Loan Type (2026)
- •FHA loan: 580 minimum with 3.5% down; 500–579 with 10% down
- •Conventional loan (Fannie/Freddie): 620 minimum
- •VA loan: No official minimum, but most lenders require 620
- •USDA loan: No official minimum, but most lenders require 640
- •Jumbo loan: 700–720 typically required, often 740+
How Your Score Affects Your Mortgage Rate
On a $350,000 30-year conventional loan in 2026, here is what each credit score tier costs you per month and over the life of the loan (approximate ranges — actual rates vary by lender):
- •760–850: ~7.0% → $2,329/month | Total interest: $488,000
- •700–759: ~7.4% → $2,425/month | Total interest: $523,000 (+$35,000)
- •680–699: ~7.6% → $2,472/month | Total interest: $540,000 (+$52,000)
- •660–679: ~7.9% → $2,543/month | Total interest: $565,000 (+$77,000)
- •640–659: ~8.3% → $2,638/month | Total interest: $600,000 (+$112,000)
- •620–639: ~8.7% → $2,736/month | Total interest: $635,000 (+$147,000)
Run the Numbers on Your Mortgage
How to Raise Your Score Before Applying
- 1.Pay down credit card balances below 30% utilization — this alone can add 20–50 points
- 2.Do not open new credit accounts in the 6 months before applying
- 3.Dispute errors on your credit report (1 in 5 reports has a material error per FTC)
- 4.Become an authorized user on a family member's old, low-balance card
- 5.Set all bills to autopay — one missed payment can drop your score 60–110 points
Mortgage lenders pull all three bureaus (Equifax, Experian, TransUnion) and use the middle score. If your scores are 690, 720, and 740, your qualifying score is 720. Improving your lowest bureau score first has the most impact.
Should You Wait to Improve Your Score?
If you are at 680 and can realistically reach 720 in 3–6 months, waiting is often worth it. On a $350,000 loan, moving from 680 to 720 saves roughly $45–55/month — about $17,000 over 30 years. The math gets more compelling the larger the loan.