My credit score is 620. Can I apply for a mortgage loan?

[perfectionj]

My credit score is 620. Can I apply for a mortgage loan?

[jpg7n16]

My credit score is 620. Can I apply for a mortgage loan?

Well you can apply for anything you want. You may not get approved, but you can apply.

Why are we looking to get a mortgage? What does the rest of your financial picture look like??

[bjl584]

My credit score is 620. Can I apply for a mortgage loan?

I'm going to guess that you shouldn't apply for a mortgage with a credit score of 620. That's too low for even FHA. They require 680 and 3.5% down (which I wouldn't advise doing anyway. You will want 20% down.)

[HousingCounselor]

I'm going to guess that you shouldn't apply for a mortgage with a credit score of 620. That's too low for even FHA. They require 680 and 3.5% down (which I wouldn't advise doing anyway. You will want 20% down.)

bj1584 is right. I work in the mortgage industry and with our banks you may be able to qualify for a loan but expect not only to put a lot of money down but also have a lot of money in savings after you've paid the down payment and closing costs.

Lender's tend to translate your savings balance into mortgage payments and some like to see that you have at least three PITI mortgage payments in the savings before closing. Even more money if your low scores are attributed to accounts that are in collection.

To qualify you'll need at minimum 10 to 15 percent down plus closing costs and still have money in savings. I'd start there before even looking or shopping for a home and home loan. We've had people just two years ago with 800 plus credit scores that were getting turned down all because they didn't have the amount of money the bank felt comfortable for them to lend to them.

[JoshuaHeckathorn]

I wouldn't even recommend trying at this point. Focus on getting your FICO scores at least in the 700 range, and in the meantime save as much cash as possible for your down payment.