Qualifying
Credit score
A number, typically 300–850, summarizing your credit risk. It sets which loan programs you qualify for and heavily influences your interest rate.
What does credit score mean?
Your credit score is one of the biggest levers on your mortgage. In Michigan the practical tiers are: 580 opens FHA at 3.5% down, 620 opens conventional loans, and 640 is the floor for MSHDA down payment assistance. Pricing then improves at 680, 700, and 740 — so even after you qualify, a few more points can be worth real money on the payment. If you're close to a threshold, paying revolving balances below 30% utilization and making every payment on time is usually the fastest, cheapest way to move up before applying.
Common questions
What credit score do I need to buy a house in Michigan?
580 opens FHA at 3.5% down, 620 opens conventional loans, and 640 is the floor for MSHDA down payment assistance. Pricing improves at 680, 700, and 740.
How fast can I raise my score to qualify?
Often a few months. Paying revolving balances below 30% utilization and making every payment on time is usually the quickest, cheapest way to cross a threshold.
Does a higher score really lower my rate?
Yes, meaningfully. Each tier above your minimum can shave the rate, so even after you qualify, a few more points can be worth real money on the payment.
Related terms