What Credit Score Do I Need to Buy a House in Texas?
Minimums by loan type, what else lenders look at, and how to get ready
By Natalie Pilkinton, REALTOR® & Real Estate Investor · Updated
Short answer
It depends on the loan program and the lender. FHA loans allow scores as low as 580 with 3.5% down, or 500 to 579 with 10% down. Most lenders look for about 620 on conventional loans. VA and USDA loans have no official program minimum, so each lender sets its own — often in the 580 to 640 range.
A higher score doesn't just get you approved; it gets you a lower rate and cheaper mortgage insurance.
Credit score by loan type
| Loan | Credit score | Good to know |
|---|---|---|
| Conventional | Most lenders look for about 620 | Fannie Mae dropped its hard 620 minimum for loans run through its automated underwriting in November 2025, but lenders still set their own floors. |
| FHA | 580 with 3.5% down; 500–579 with 10% down | Easier to qualify for; mortgage insurance applies. |
| VA | No VA minimum; lenders often want 580–620 | For eligible veterans, service members and surviving spouses. |
| USDA | No program minimum; set by the lender | No down payment in eligible areas, with income limits. |
As of October 2026.
What lenders look at besides your score
- Debt-to-income ratio: your monthly debts, including the new house payment, compared with your gross income. Around 43% or below is a common target, with exceptions.
- Income and employment: usually two years of steady work history, with W-2s, 30 days of pay stubs and tax returns.
- Assets: about two months of bank statements showing your down payment and closing funds.
- Payment history: recent late payments, collections or a bankruptcy matter more than the number alone.
An example
A buyer with a 600 score and steady income may not fit most lenders' conventional guidelines, but can qualify for an FHA loan with 3.5% down. If they spend a few months paying down credit card balances and raise their score to the high 600s, they may qualify for a conventional loan, a lower rate or cheaper mortgage insurance. The right move depends on how soon they want to buy and what a few months of waiting would save.
Common mistakes during the loan process
- Opening new credit — a car loan, furniture financing or a new card — before closing.
- Closing old credit card accounts, which can lower your score.
- Moving large sums between accounts or depositing cash you can't document.
- Changing jobs without talking to your lender first.
- Missing any payment, even a small one.
- Slow or incomplete answers to your lender's document requests.
How to improve your credit before you apply
- Check your reports. Get your free reports from Experian, Equifax and TransUnion at AnnualCreditReport.com and dispute any errors.
- Pay down card balances. Keeping balances low relative to your limits is one of the fastest ways to raise a score.
- Pay everything on time. Payment history is the biggest factor in your score.
- Keep old accounts open. Older accounts lengthen your credit history.
- Talk to a lender early. A lender can show you which changes would move your score the most before you start shopping.
When to talk to a Realtor
Talk to a lender and a Realtor before you start touring homes, not after you find one. Knowing which loan you qualify for decides your price range, your down payment and how strong your offer can be — and Natalie can connect you with a lender who'll tell you exactly what to work on.
Who Natalie works with on financing
Natalie's buyers often start with Brian Lupton at HomeRock Mortgage, who co-presents her Home Buyer Masterclass. Compare his terms with any lender you're considering.
Mortgage broker
HomeRock Mortgage
Brian Lupton, Mortgage Loan Originator
Conventional, FHA, VA and USDA financing, plus help finding the Texas down payment assistance programs you qualify for. Brian co-presents Natalie's Home Buyer Masterclass.
NMLS #2035744 · Company NMLS #1691956
HomeRock Mortgage is part of the HomeRock Group, the same group of companies as HomeRock Realty, Natalie's brokerage. You're free to choose any lender, and you should compare terms. Loan programs, rates and approval are set by the lender.
Frequently asked questions
Can I buy a house with a 580 credit score in Texas?
Often, yes — with an FHA loan and 3.5% down, if you meet the lender's other requirements. VA and some USDA lenders may also work with scores in that range.
Is 620 still the minimum for a conventional loan?
Not officially. Fannie Mae removed its hard 620 minimum for loans run through its automated underwriting system in November 2025. Most lenders still look for about 620, and a higher score gets better pricing.
Does checking my credit lower my score?
Checking your own credit doesn't. A lender's hard inquiry can lower it slightly, but mortgage inquiries made within a short shopping window are generally treated as one.
How long does it take to raise my credit score?
Paying down card balances can show up within a month or two. Recovering from late payments or collections takes longer. A lender can tell you which changes would help most.
Keep learning
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