Understanding Credit Scores for Homebuyers

by Bobbi Brandt

What Credit Score Do You Need to Buy a House?

At Castle Rock Realty, we love helping our neighbors across South Central Wisconsin feel confident about every step of their real estate journey. One of the most common questions we hear is what credit score is needed to buy a home. The answer depends on the type of loan you use, but you may need less than you think.

Why Your Credit Score Matters

Your credit score helps lenders understand how you manage debt and monthly payments. It plays a role in whether you qualify for a mortgage and what loan options are available to you.

Credit Score Requirements by Loan Type

In most cases, buyers will fall into one of these categories.

Conventional loans typically require a credit score of at least 620.
FHA loans may be available to buyers with a credit score of 580 or higher.
Buyers using FHA with lower credit scores may need to put at least ten percent down, instead of the usual three and a half percent.

These options help make homeownership possible for buyers who are still working on improving their credit.

What If Your Credit Score Is Lower?

Credit scores can feel overwhelming, but you do not have to figure it out on your own. One of the best first steps is talking with a local lender who understands our South Central Wisconsin market.

A local lender can help by:

Reviewing your current credit situation.
Creating a plan to raise your credit score.
Helping you reduce or eliminate debt.
Explaining what monthly house payment fits your budget.

This guidance allows you to make informed and confident decisions before you start looking at homes.

Home Buying Is About More Than a Number

Your credit score is important, but it is only one piece of the puzzle. Income, savings, and long term goals all matter. Having a knowledgeable local team makes the process smoother and less stressful.

At Castle Rock Realty, we work with buyers across Juneau, Adams, and Sauk counties to make sure they feel informed, supported, and confident at every step.

Ready to Take the Next Step?

If you are thinking about buying a home in Juneau, Adams, or Sauk County, our team at Castle Rock Realty would love to guide you through the process with confidence and care.