The minimum credit score to buy a house depends on the loan type. The minimum to get a great rate is much higher. This 2026 guide breaks down the credit score thresholds for FHA, VA, conventional, USDA, and jumbo loans, what lender overlays add on top, and how to move your score into a better tier before applying.
Key takeaways at a glance
- 500 with FHA + 10% down is the absolute floor in the U.S.
- 580 for FHA 3.5% down; 620 for conventional and most VA lenders.
- 740+ gets the best rates on conventional financing.
- Most Hampton Roads lenders apply overlays 20–40 points above published minimums.
- Use FHA if you're below 680, conventional if you're above 700, VA whenever you qualify regardless of score.
| Loan Type | Program Minimum | Typical Lender Overlay |
|---|---|---|
| FHA (3.5% down) | 580 | 620+ |
| FHA (10% down) | 500 | 620+ |
| VA | None set | 580–620 |
| Conventional 97 / 5% down | 620 | 640+ |
| USDA | 640 | 640+ |
| Jumbo | 700 | 720+ |
In this guide
Minimum credit scores by loan type
- FHA loan — 500 with 10% down; 580 with 3.5% down. Most lenders set 620+ overlay.
- VA loan — VA itself sets no minimum; lenders typically require 580–620.
- Conventional 97 — 620 minimum.
- USDA loan — 640 typically.
- Jumbo loans — usually 700–720+ minimum.
How credit score affects your rate
FICO breaks borrowers into rate tiers. Approximate impact on a 30-year fixed mortgage rate:
- 740+ — best available rate
- 720–739 — ~0.125% higher
- 700–719 — ~0.25% higher
- 680–699 — ~0.375% higher
- 660–679 — ~0.5% higher
- 640–659 — ~0.75% higher
- 620–639 — ~1.0%+ higher
On a $325k mortgage, the rate gap between a 620 and a 740 can mean $300+/month and $100,000+ over 30 years.
What "lender overlays" actually mean
Lenders are allowed to add their own minimum credit score requirements above what the loan program technically allows. These "overlays" exist because lenders absorb risk on the front end. In Hampton Roads, typical overlays:
- FHA: 620 (instead of 580)
- VA: 600–620 (instead of no minimum)
- Conventional: 640–660 (instead of 620)
If a lender says no, talk to two other lenders. Overlays vary.
How to improve your score before applying
See our credit-building guide and 8 steps to boost your score for the full playbook. Highest-impact moves: pay credit card balances under 30% of each card's limit (30 days), dispute errors (45 days), don't apply for new credit (90+ days).
Frequently Asked Questions
What is the minimum credit score to buy a house?
500 with FHA and 10% down is the technical floor in the U.S. Most Hampton Roads buyers need 620+ to get reasonable approval and pricing.
What credit score do I need for a VA loan?
The VA itself doesn't set a minimum. Most lenders apply 580–620 overlays. Full VA loan guide.
What credit score do I need for an FHA loan?
580 for 3.5% down, 500 for 10% down. Most lenders set 620+ overlay. FHA guide.
What credit score do I need for a conventional loan?
620 minimum. 740+ gets the best rates and lowest PMI.
Can I buy a house with a 580 credit score?
Yes, with FHA and 3.5% down (or VA if eligible). Expect higher rates and more lender scrutiny than a 700+ borrower.
Will a low credit score affect my mortgage insurance?
Yes — significantly. Conventional PMI rates vary widely by score; the lower the score, the higher the monthly PMI. FHA MIP is roughly the same regardless of score.
How long before applying should I freeze my credit activity?
Stop new credit applications 90–120 days before pre-approval. Don't close old cards. Don't make large unexplained deposits.
Does my spouse's credit affect my application?
If you apply jointly, yes — lenders use the lower of the two middle scores. Sometimes one spouse applies alone to use the higher score (with the trade-off that only that spouse's income counts).
Have a question about your home purchase?
Talk to a Hampton Roads buyer's agent or loan officer who can walk through your specific situation - no pressure, no obligation.
Sources & further reading
- CFPB — What credit score do I need?
- myFICO — What is a credit score
- VA — Loan eligibility
- HUD — Buying a home
Information reflects 2025-2026 conditions and rules. Always confirm current details with the relevant agency, lender, or licensed professional before relying on any specific figure or rule.
About the Author
The VaHome Team is dedicated to providing expert real estate insights for Hampton Roads, Virginia. Contact us at (757) 777-7577 or tom@vahomes.com.
About the Hampton Roads Real Estate Market
Hampton Roads is one of the most dynamic real estate markets on the East Coast, anchored by the largest naval complex in the world at Naval Station Norfolk and home to roughly 120,000 active-duty, reserve, and civilian Department of Defense personnel. The region spans seven cities — Virginia Beach, Norfolk, Chesapeake, Suffolk, Portsmouth, Hampton, and Newport News — plus the Peninsula communities of Williamsburg, Yorktown, and Poquoson, with each market carrying its own personality, school district, and price profile.
Buying or selling here means thinking about more than just a house. Tidewater geography means flood zones, hurricane preparation, and waterfront premiums matter. Military presence means BAH affordability, PCS season inventory crunches (May through August), and VA loan eligibility are top of mind for a meaningful share of every neighborhood. School quality varies block by block, especially across the seven independent city school divisions, and is often the deciding factor for relocating families.
Why Buyers and Sellers Choose VaHome
The VaHome Team — Tom and Dariya Milan with LPT Realty — focuses on the Hampton Roads region with deep expertise in military relocation, VA financing, and the trade-offs that local buyers actually face. From listing strategy that gets your home in front of the right relocating buyer to buyer representation that respects your BAH cap and PCS timeline, the team treats every transaction as a long-term relationship. The site is built to make decisions clearer: BAH-aware search, drive-time mapping to every major installation, neighborhood guides written by people who live here, and a calculator that shows real monthly cost — taxes, insurance, HOA, and PMI included — instead of a teaser headline number.
Plan Your Next Move
Whether you are buying your first home with a VA loan, moving up while your kids transition between school districts, or selling a Hampton Roads property to relocate to your next duty station, the resources on this site are organized around the questions you are actually asking. Browse listings filtered by base proximity, paygrade-aware BAH cap, and commute time. Read neighborhood guides for Virginia Beach, Norfolk, Chesapeake, Suffolk, Hampton, Newport News, Williamsburg, and the Peninsula communities. Use the mortgage calculator to compare conventional, FHA, VA, USDA, and jumbo loan scenarios side by side. When you are ready to talk, the contact form goes directly to a specialist who knows the area, the lenders, and the timing.