One of the questions that I hear most from anxious buyers is if their credit score is good enough to obtain a home loan. To be honest I am not a “credit expert” but I do know that lenders handle each application on an individual basis. Regardless of your credit history it never hurts to try and as always I strongly suggest that a person receive pre-approval from a lender before they begin searching for the home of their dreams.
The chart below is a good point of reference and if you are in the market for a new home, keep in mind that each lender has different criteria and even with a less than perfect credit score it is possible to obtain a mortgage loan in many situations.
- The average FICO score of Approved Conventional Loans was 757 in May
- The average FICO score of Approved FHA Loans was 688 in May
- Since April 2013, the ability of Americans to obtain a mortgage has increased substantially!