What credit score do you REALLY need for a home loan? #biggerpockets #shorts #realestate

Have you ever wondered what credit score you REALLY need to buy a house? I recently read this article from BiggerPockets that breaks it down, and it was super interesting!

Basically, the credit score you need depends on the type of loan you’re getting. For example, if you’re getting a conventional loan, you’ll need a score of at least 620, but ideally closer to 700 or higher. If you’re getting a government-backed loan like an FHA or VA loan, you can typically get approved with a score as low as 500 or 580, respectively.

But, just because you can get approved for a loan with a lower score doesn’t necessarily mean you should. A higher credit score will typically mean a better interest rate and potentially lower monthly payments, which could save you thousands of dollars in the long run.

Personally, I had a pretty decent credit score when I bought my first home, but my husband’s score wasn’t as high. We were still able to get approved for the loan, but the interest rate was higher than it would have been if we both had higher scores. It’s definitely something to keep in mind when you’re preparing to buy a house.

Overall, the key takeaway is that your credit score plays a big role in the homebuying process, and it’s important to aim for the highest score possible in order to get the best rates and potentially save money in the long run.