Georgia, What Credit Score is Needed to Buy a House
What Credit Score Do You Need to Buy a Home in GA?
Almost every type of mortgage loan in Georgia comes with a minimum credit score requirement. It might vary depending on the type of loan and the lender, but ultimately your credit score will play a huge role in determining whether you will get to own that Georgia dream home. That is why we at Moreira Team have prepared this guide to help you understand, what credit score is needed to buy a house in Georgia. Here are some guidelines:
Portfolio Mortgage Loan: This type of loan has the lowest credit score requirement. You can qualify with a FICO score as low as 620
FHA and VA loans: Since COVID-19 most Georgia lenders will require a credit score of at least 640 for these two types of loans to get the best rate and qualify for flexible underwriting.
USDA, Jumbo, and Conventional loans: This category commands the highest credit score requirement at 660.
It is worth noting that the higher your down payment is, the lower the credit score requirement. Most Georgia lenders will also look at whether you have sufficient income that can warrant a reduction in credit score requirements. Also, keep in mind that your credit payment history is a big determinant of your credit score. It determines your score by 35%. The amount you are owed also carries almost a similar weight as your credit payment history at 30%. Those are the two areas to pay close attention to, in order to keep a clean credit history.
If your scores are not where they need to be to qualify for a home loan you should consider working with a credit specialist. We work with a group of Credit Specialists, out of Denver, called National Credit Care, who specialize in increasing client’s scores to get them approved for loans. They are our “go to” company when we have a situation where credit scores are low due to derogatory items reporting to the credit bureaus. They have the ability to remove any questionable and non-verifiable items on your credit report such as late payments, collections, and charge-offs. They will do a full free consultation with you so you know exactly what items are on your report that are causing you to have issues, and exactly what can be done to correct them.
If you are in fact a good fit for their program, you will be eligible for free copies of all three of your credit bureaus reports and scores.
So, if you’re really serious about getting “loan ready” and increasing your credit scores you should consider a free consultation with National Care Credit, they have helped hundreds of our clients over the years become homeowners by improving their credit.