Buying Guide
The credit score you need depends on the type of loan you use. FHA loans require a minimum of 580, conventional loans typically need 620 or higher, VA loans have no official minimum, and USDA loans usually require 640. The good news is that Florida offers several loan programs designed for buyers with less-than-perfect credit, and there are concrete steps you can take to improve your score before you apply.
Each loan program has its own credit score requirements. Here's what you need to qualify for the most common mortgage types in Florida:
FHA loans are backed by the Federal Housing Administration and are the most popular option for first-time buyers and those with lower credit scores. With a 580 or higher, you can put down just 3.5%. If your score is between 500 and 579, you may still qualify with a 10% down payment, though many lenders set their own minimums above 580. FHA loans also allow higher debt-to-income ratios, making them more accessible for buyers with student loans or other monthly debt.
Conventional loans are backed by Fannie Mae or Freddie Mac and typically require a credit score of 620 or higher. With a 620 to 679 score, you'll likely need a higher down payment (5% to 10%). With a 680 or above, you can qualify for better rates and lower down payment options, including 3% down programs for first-time buyers. If your score is below 620, you may still qualify but will face higher interest rates and stricter requirements.
VA loans for veterans, active-duty service members, and qualifying spouses have no official minimum credit score set by the Department of Veterans Affairs. However, most lenders require at least 620. VA loans offer zero down payment, no PMI, and competitive interest rates. They are the single best loan program available for those who qualify.
USDA loans for rural and suburban properties (including eligible areas of Palm Beach County) typically require a credit score of 640 or higher. They offer zero down payment and reduced mortgage insurance rates. Income limits apply, and the property must be in an eligible area. If your score is below 640, some lenders may still approve you with a manual underwrite.
When you apply for a mortgage, lenders pull your credit from three bureaus: Equifax, Experian, and TransUnion. They use the middle score (or the lowest middle score if there are multiple borrowers). So if your scores are 620, 640, and 660, the lender uses 640.
For joint applications with two borrowers, the lender typically uses the lowest middle score. So if one spouse has a 620 and the other has a 720, the lender uses 620 for qualification purposes.
If your credit score isn't where it needs to be, here are the most effective steps you can take in the months before you apply for a mortgage:
If your credit score is 580 or above, you have options for buying a home in Florida. The higher your score, the better your interest rate and the more loan programs you can access. Most buyers can improve their score by 30 to 50 points in 3 to 6 months by following the steps above. I can connect you with a lender who will review your credit situation for free and tell you exactly what you need to do.
Check your options based on your credit score.
I can connect you with a lender who will review your credit and tell you exactly what loan programs you qualify for — no cost, no obligation.
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