What is the average credit score required to buy a house?

Your credit score reflects a lifetime of your financial management and has a strong influence over your borrowing ability, your down payment, and your loan's interest rate.

Lenders use it to estimate your trustworthiness as a borrower and determine whether you can qualify for a loan. Anyone who is actively seeking to finance a home should be very familiar with what their personal credit report looks like. They should also understand the various ways to boost your credit score if it will help them benefit with the financing of their home.

Ultimately, there isn't a single universal score can guarantee your approval for a loan to buy a house. When it comes to the credit score needed to qualify for a mortgage loan, the minimum requirements will vary by lender and the type of mortgage loan you are applying for. But more than just your score, there are other things that come into play such as your income, length of employment, and how much cash you can afford to put down.

What is the minimum credit score required?

If we look at the different types of loans and the minimum score they require, we can see that most conventional lenders don't require you to have 800 score. Instead, they typically require 620 to 640 to be the very minimum. But, at the same time, some government-backed loans will view you as a borrower if your credit score is as low as 500, provided you meet specific other criteria which is usually related to income and extremely steady employment.

In most cases, mortgage lenders consider the FICO® score for mortgage qualification. They use your score from three major credit bureaus: Experian & Transunion, and Equifax. As your credit score can vary slightly between them, it is up to a particular lender to determine which one they'll use to estimate if you meet the loan requirements.

Generally speaking, the qualifying average credit score ranges from 662 to 730. Therefore, you're in an excellent position to get the most favorable loan terms and interest rates on loans if you're within those numbers (or higher). Of course, this number may change depending on the state and city. Regardless, the higher your score, the more affordable your mortgage loan will be in the long run.

What is the average credit score in your state required?

If you want to know the average credit score in your state as of the time of writing this blog, look at the list below.

  • Alaska: 686
  • Alabama: 668
  • Arkansas: 667
  • Arizona: 671
  • California: 701
  • Colorado: 694
  • Connecticut: 689
  • District of Columbia: 730
  • Delaware: 669
  • Florida: 673
  • Georgia: 671
  • Hawaii: 715
  • Iowa: 682
  • Idaho: 684
  • Illinois: 684
  • Indiana: 670
  • Kansas: 684
  • Kentucky: 669
  • Louisiana: 667
  • Massachusetts: 705
  • Maryland: 680
  • Maine: 683
  • Michigan: 679
  • Minnesota: 695
  • Missouri: 676
  • Mississippi: 662
  • Montana: 693
  • North Carolina: 683
  • North Dakota: 696
  • Nebraska: 690
  • New Hampshire: 696
  • New Jersey: 697
  • New Mexico: 673
  • Nevada: 682
  • New York: 703
  • Ohio: 678
  • Oklahoma: 672
  • Oregon: 700
  • Pennsylvania: 688
  • Rhode Island: 683
  • South Carolina: 671
  • South Dakota: 689
  • Tennessee: 675
  • Texas: 671
  • Utah: 690
  • Virginia: 688
  • Vermont: 695
  • Washington: 698
  • Wisconsin: 689
  • West Virginia: 672
  • Wyoming: 671

The list above can help you determine if you fall within the area required to finance a home mortgage. If your credit score is in good standing, you may have multiple options for loan types to choose from. On the contrary, if your credit score is too low, your options may be limited or even non-existant. 

Adding AU tradelines to your credit report can increase your credit score and credit history quickly and effortlessly. In addition, buying personal tradelines from GFS Group gives you a window of opportunity to qualify for loan with lower rates. It's a proven method for making the best of any situation regarding loan qualification. While nobody can guarantee you an exact number, as long as you have no delinquent loans or outstanding payments, tradelines can and will work in your favor.

Ready to give a try to AU tradelines? All you have to do is sign up with us, make a purchase and enjoy seeing your credit score increase!