620 Credit Score Mortgage
620 is the line where conventional financing joins the menu. Now you have a real choice between FHA and conventional, and that choice can save you money over the life of the loan.
By Onias Derilus, Mortgage Capital · NMLS# 1859012 · Last Updated: June 2026
A 620 credit score is the minimum for a conventional loan backed by Fannie Mae or Freddie Mac. That matters because conventional financing lets you put as little as 3% down and, unlike FHA, drop mortgage insurance once you reach 20% equity. At 620 you finally get to weigh FHA against conventional instead of being handed one option.
FHA or Conventional at 620
At 620 both doors are open. FHA still works and stays friendlier on debt ratios and past credit hiccups. Conventional now works too, with 3% down for first-time buyers and the big long-term advantage that private mortgage insurance falls off automatically at 78% loan-to-value. FHA mortgage insurance, by contrast, usually sticks for the life of the loan.
The catch at 620 is pricing. Conventional rates and PMI costs are tied tightly to your score, and 620 is the bottom rung, so your rate will be higher than a buyer at 700 or 740. For some 620 buyers FHA is still cheaper month to month. We run both side by side rather than assuming conventional wins.
| Loan Type | Min Score | Your Position at 620 |
|---|---|---|
| Conventional | 620 | Now available — 3% down |
| FHA | 580 | Available — 3.5% down |
| VA | 580 typical | Available — 0% down |
| USDA | 640 typical | Not yet — 20 points away |
Conventional minimum is 620. PMI and rate pricing at 620 are higher than at 700+. FHA insurance generally runs the life of the loan.
Why the Next 20 Points Are Worth It
At 620 you qualify for conventional, but you are paying the worst conventional pricing there is. PMI rates and interest rates improve at 640, again at 660, and meaningfully at 680 and 700. If you are close to a higher tier, a small score bump can cut your monthly PMI noticeably with no other change to the deal.
So the play at 620 is usually: get pre-approved now so you know what you can buy, but ask your broker exactly which score threshold trips better pricing. Often paying down one card the month before you lock is enough to land in a cheaper bracket. We map that out before you shop.
What each loan program does at 620
A score does not qualify you on its own. It opens some programs, closes others, and changes the terms on the ones in between. Here is where a 620 lands on each program we write in Florida, with the detail behind every verdict a click away.
FHA Loan at 620: Works — but compare conventional.
VA Loan at 620: Comfortable approval.
USDA Loan at 620: Not yet — USDA wants 640.
Conventional Loan at 620: Opens — worst pricing tier.
Jumbo Loan at 620: Not yet — jumbo wants ~700.
Refinance at 620: Conventional refinance opens.
Two things move these verdicts more than the score itself. The first is the lender, because most set their own floor above the program minimum and a file one lender declines can be straightforward at the next. The second is the rest of the file: steady income, a clean recent payment history, and cash left after closing will carry a borderline score further than a few extra points would.
620 Credit Score Mortgage: FAQ
Yes, 620 is the standard minimum for a conventional loan in Florida. You can put as little as 3% down. The trade-off is that pricing at 620 is the least favorable in the conventional range, so your rate and PMI will be higher than a higher-score buyer's.
It depends on the numbers. Conventional lets you cancel mortgage insurance later, which saves money long term. But at 620 the upfront pricing can make FHA cheaper month to month. The right call comes from comparing both quotes with your income and debt, which we do before you commit.
Conventional PMI and rates step down at 640, 660, 680, and 700. Moving up even one tier can shave a meaningful amount off your monthly PMI. We tell you which threshold is closest and what it would take to reach it.
Verify the details for your own situation against these government and agency sources: HUD FHA loan program and HUD Handbook 4000.1 (FHA rules).
Buying With a 620 Credit Score?
Get matched to the right Florida loan for your score · Licensed FL mortgage broker NMLS# 1859012
Rates are illustrative only. APR and payments vary by credit score, loan amount, and market conditions. Subject to credit approval. Not a commitment to lend. NMLS# 1859012. Equal Housing Lender.