What Credit Score Do You Need to Buy a House in Florida?

In Florida, you can qualify for a mortgage with a credit score as low as 580 with an FHA loan, but most conventional lenders want 620 or higher, and the strongest rates typically go to borrowers above 740. Your score affects three things: whether you are approved, what rate you get, and how much you pay in mortgage insurance.

Minimum scores by loan type

• FHA: 580 with 3.5 percent down. Between 500 and 579, 10 percent down is generally required.
• Conventional: 620 is the common floor. Below that, most lenders will not approve.
• VA: Lenders set their own overlay, usually 580 to 620, though the VA itself has no minimum.
• USDA: Typically 640 for the automated approval.

What your score actually changes

Your interest rate. The difference between a 620 score and a 760 score on the same loan can be significant over 30 years.

Your mortgage insurance. Conventional loans charge PMI that drops off as you build equity. FHA charges mortgage insurance premium for the life of the loan in most cases, which is why rebuilding your score before buying an FHA loan is often worth the wait.

Your approval odds. Below a lender's floor, no amount of down payment overcomes it.

What lenders look at beyond the score

• Payment history over the last 24 months
• Debt-to-income ratio, generally capped around 43 to 50 percent
• Employment stability and documented income
• Available reserves after closing
• Recent credit inquiries and new accounts

How to raise your score before you buy

1. Pay every account on time. Payment history carries the most weight.
2. Pay down revolving balances. Utilization below 30 percent helps, below 10 percent helps more.
3. Do not close old accounts. Length of history matters.
4. Dispute genuine errors on your report.
5. Avoid new credit, including car loans, in the months before applying.

Frequently asked questions

Can I buy with a 580 score? Yes, with an FHA loan and 3.5 percent down, and Florida down payment assistance can cover much of the cash needed.

How long does it take to raise a score? Meaningful improvement usually takes 60 to 90 days, sometimes faster after paying down balances.

Does my spouse's score matter? Yes if they are on the loan. Being on the loan with a low score can raise your rate. Discuss options with your lender.

Should I wait to buy? If your score is close to a threshold, three months of work can save you real money over the life of the loan.

If you want to know exactly where you stand, I can connect you with a lender who will run the numbers at no cost.