Mortgage Mythbuster: You DON’T need perfect credit to buy a house.

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An Eighteen year veteran of home loan lending in Colorado, Ashley created the Fairway Fast Speed Team that gets loans closed in record time!

Your credit may not be perfectly spotless, but that doesn’t mean you can’t buy a home. While Conventional loans require a score of at least 620, FHA and VA only require a score of 580 for approval. There are options like finding a co-signer or agreeing to make a bigger down payment that can help reassure your lender and reduce the risk. Certain down payment assistance programs, such as CHFA, require a 620 credit score, but the good news is that with CHFA, the interest rate is the same whether you have a 620 or a 720.

That said, you can raise your credit score by carrying a balance of no more than 1/3rd the max allowable balance on your credit cards. Reducing the amount of the balance could raise your score 20-40 points in a matter of days and could cost very little. I offer my credit improvement services for free, so if you have a score of a 560 or higher and you are needing assistance in getting over the hump to the 600 or 620 mark, please reach out, I would be happy to assist you.