Is it possible to get a home loan with a credit score of 580
Not financial advice: While it is possible to find a lender that will manually underwrite a loan for someone with a 580 credit score, those borrowers typically have to show that they have worked at the same job for a long time, have extra savings, and have proof of on-time rent or house payments for at least 2 years.
For a conventional mortgage, a minimum credit score of 620 is needed; however, many lenders require at least a 660 or 700 credit score. For FHA loans, the minimum credit score allowable is 500.
It is an opportune time to buy a home as mortgage rates continued to plunge to new record lows this past week, with interest rates on 15-year fixed rate mortgages dipping below 3%.