680 Credit Score FHA Loan
FHA approves easily at 680, but at this score conventional usually costs less over time. Compare before you choose.
A 680 credit score approves comfortably for FHA, but it is also a strong conventional score, and that changes the recommendation. At 680 conventional pricing is solid and the PMI can be canceled at 20% equity, while FHA insurance runs for the life of the loan. FHA still has a role for higher debt ratios, but for most 680 buyers conventional is the better long-term math.
When FHA Still Makes Sense at 680
FHA earns its keep at 680 when debt-to-income is tight or the file has a recent blemish, since its underwriting is more forgiving. The 3.5% down option is also useful when cash is limited.
Otherwise, conventional at 680 usually wins. Cancellable PMI alone can save thousands over the years you hold the loan, which FHA cannot match. We price both before recommending one.
| Factor | FHA at a 680 Score |
|---|---|
| Approval | Easy |
| Mortgage Insurance | Life of loan |
| Conventional Alternative | Usually cheaper at 680 |
| FHA Wins When | High DTI or recent credit event |
What a 680 score changes for FHA Loan
Credit scores work in bands rather than single points, so the score either side of yours is what decides whether the terms move. Here is what the nearest bands do to a fha loan in Florida, and what the same 680 reaches on other programs today.
Drop to 660: Works — weigh conventional. See 660 with FHA Loan
Reach 700: Works — conventional usually cheaper. See 700 with FHA Loan
If you are close to the band above, it is usually worth asking a lender what it would take to get there before you lock anything in. Paying down a revolving balance is the fastest lever most borrowers have, and it can move a score within one billing cycle.
One thing worth knowing before you read too much into a number: lenders do not use the score you see on a free credit app. They pull all three bureaus and work from the middle score, and on a joint application they use the lower borrower’s middle score. Ask which score a lender is working from before you assume you sit in a particular band.
What else a 680 score reaches
VA Loan at 680: Strong VA terms.
Conventional Loan at 680: Good — pricing keeps improving.
Jumbo Loan at 680: Entry point — workable with reserves.
Refinance at 680: Competitive refinance pricing.
680 Credit Score FHA Loan — FAQ
Usually conventional. At 680 its pricing is solid and the PMI cancels at 20% equity, while FHA insurance lasts the life of the loan. FHA still wins when your debt ratio is high or you have a recent credit event, so we price both.
Not a waste, but often not the cheapest. FHA remains useful for tight debt-to-income or a recent blemish. For a clean 680 file, conventional with cancellable PMI typically saves more over the life of the loan.
Verify the details for your own situation against these government and agency sources: HUD FHA loan program and HUD Handbook 4000.1 (FHA rules).
A FHA Loan With a 680 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.