how low the credit score to be decline for a home loan?

Answer 1

Most companies today will not consider a score below 550..Although it can vary from company to company. Some might consider a lower score if you have 5-10% down, but those are hard to find; and your interest rate will still be ridiculously high. I would say improve your credit score by paying off credit cards, and making timely payments on any other open credit lines you may have.

Also, avoid having your credit checked as much as possible. Every time someone pulls up your credit report it drops your score, and it can take 2-3 months to rebound.

Answer 2

It depends on some other factors as well, but most companies will deny anyone with a credit score of 620 or less. There are some resources that can give you an idea of mortgage rates that are available according to credit score and location. I found this link from Equifax: https://www.informars.com/equifax/

Answer 3

ALot of times it is NOT just the score.
It could also be your income to debt ratio
meaning if you have a 600 credit score with an income of 40k a year and 15k in bills, you might get the loan where someone with a 750 score with 50k of income and 45k of bills might not!
Of course the bank wants to know if you can and will pay your bills on time but they also want to know if you have the means to do so.
If you are denied credit, ask the lender why
maybe you can work to get your income to debt ratio lowered by paying off some of the minor nagging bills ($500.00 charge card etc)

Answer 4

Some lenders will do a mortgage for a score of 500 or a few even lower. The lender I work for will finance for a score of 500.

You will just need to shop around for a mortgage broker that has non-conforming lenders that will do this.