Was 550 a good credit score to possess home financing?

A great 550 credit history is not good. Its experienced poor. You should have difficulty being qualified when it comes down to variety of loan that needs a credit check. When you find yourself recognized for a free account, expect you’ll rating a higher interest than just you would like.

No, 550 isnt a good credit score to have a mortgage. Its a bad rating. It desk shows that FICO will not promote a credit rating desire rate for credit scores lower than 620.

Financial Cost of the Credit rating

Getting home financing, a keen FHA mortgage is best alternative for individuals that have an excellent credit history of 550 or even more. A federal installment loan Hamilton KS Homes Government (FHA) bank takes loans having fico scores as little as five-hundred if you make a deposit with a minimum of ten%.

A credit rating from 580 or maybe more required for you locate a loan if you fail to be able to set out 10%. But if you put out a little effort, you might be in a position to make that happen draw in a few months.

If you have a terrible credit score as well as your mortgage lender decides to deal with the application, you are able to most likely get the maximum interest. Continue reading →