FHA publishes its minimums in black and white. Most of the higher numbers you hear are individual lenders' own rules stacked on top. Here is what the handbook actually says - and what to do about the gap.
These are FHA's published minimum decision credit scores - the program's own floor, before any individual lender adds requirements of its own.
At a 580 decision credit score or above, FHA's rules allow maximum financing - the 3.5% down payment option.
In this band, FHA's rules still allow financing, with a 10% down payment instead of 3.5%.
Source: FHA's published minimums, per FHA Handbook 4000.1. Individual lenders may require more. Meeting a minimum score does not by itself qualify anyone - the full application is still underwritten.
Because that lender's floor is 620. FHA's is not. A requirement a lender adds on top of the program's published rules is called an overlay - that lender's private business decision about the risk and workload it wants. Overlays are legal, common, and different at every shop.
The practical consequence: when a loan officer quotes you a minimum above FHA's published numbers, you have learned one company's policy, not your eligibility. Another lender operating closer to FHA's actual floor may read the same file differently. Finding those lenders is precisely what a broker is for - we work with many, and we know whose overlays sit where.
Between 500 and 579, FHA's rules allow a loan with 10% down, but fewer lenders choose to work in that band, and the ones that do underwrite carefully. Expect the rest of your file to matter enormously: recent on-time payment history, stable income, documented savings for the larger down payment, and clear explanations for whatever pulled the score down.
Nobody can promise an approval in this band - anyone who does is not being straight with you. What we can do is tell you quickly whether lenders we work with will consider your profile, and if the answer today is no, map the shortest credible path to a yes later. For deeper FHA program questions along the way, see FHALoanQuestions.com.
If your score sits under FHA's published floor - or just under the band you want - the work is unglamorous but concrete.
Every account paid on time from today forward. Recent history is the heaviest input, and it starts improving the moment the streak starts.
High revolving balances drag scores. Paying cards down - not necessarily off - is often the fastest legitimate mover.
Dispute genuine errors on your reports through the bureaus. Correct real mistakes; do not pay anyone who promises to erase accurate history.
Talk to us before you guess. We can tell you where your file stands against actual lender requirements, and what a realistic timeline looks like.
Five minutes on the phone beats five weeks of guessing. We will compare your situation against actual lender requirements - not advertised ones - and give you a straight answer either way. Already been turned down over your score? See MortgageDeclined.com.