
Conventional Loan Credit Score
Your credit score is one of the most important factors when it comes to getting a mortgage.
In this blog post, we will discuss the minimum credit score requirements for a conventional loan.
We will also provide tips on how to improve your credit score if you are not currently meeting the minimum requirement.
What is the conventional loan credit score?
The minimum credit score for a conventional loan is 620. If you are not currently meeting the minimum credit score requirement, there are several things you can do to improve your score, or there are alternative programs that may be a better option for you.
What if my credit score isn’t good enough?
Your credit score is one of the first factors a lender looks at when considering you for a home loan. With that said, it’s still possible to get a loan with credit score below 620, including a score as low as 600.
It may come with a higher interest rate and higher closing costs but at least you still have the chance to buy a home.
Conventional loans are typically best for those with good or excellent credit, as these loans require a higher credit score than government-insured loans.

What alternative loan programs can I qualify for with a low credit score?
If your score isn’t high enough for a conventional loan, there are other mortgage programs available:
Government Programs:
These types of mortgages have lower credit score requirements than conventional loans.
- VA Loan – Loan for our military service members. Some lenders will go as low as 580.
Coole Home: We require a minimum of 620 for a VA home loan.
- FHA Loan – Loan for first time home buyers. Some lenders will go as low as 500.
Coole Home: We require a minimum of a 620 for an FHA home loan.
Read this article to find out what the differences are between a Conventional mortgage and FHA.

Non-QM Home Loans:
NonQm is perfect for real estate investors, foreign nationals, and those who are self-employed, receive 1099s, as well as those with credit blemishes, such as prior bankruptcies, foreclosures, short sales, late payments, collections.
Coole Home: We require a minimum credit score of 600 for a NonQm loan.
NonQM is also for those who have the income but find it difficult to qualify for a conventional loan.
For example: Self-employed professionals, may have a difficult tme meeting conventional loan requirements. If you write off all your income at the end of the year, you may run into issues with income verification for a traditional mortgage. Because non-QM loans come with more flexible income verification processes, it would be easier to get a mortgage going this route.
Minimum conventional loan credit score needed: Most lenders – including Coole Home – require a minimum credit score of 620 for a conventional mortgage.
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