How to Buy a House With Bad Credit

It's challenging to buy a house with bad credit. It helps to have a down payment.
Updated · 1 min read
Profile photo of Hal M. Bundrick, CFP®
Senior Writer
Profile photo of Michelle Blackford
Reviewed by Michelle Blackford
Profile photo of Beth Buczynski
Edited by Beth Buczynski
Lead Assigning Editor
Fact Checked
Profile photo of Holden Lewis
Co-written by Holden Lewis
Senior Writer/Spokesperson

Some or all of the mortgage lenders featured on our site are advertising partners of NerdWallet, but this does not influence our evaluations, lender star ratings or the order in which lenders are listed on the page. Our opinions are our own. Here is a list of our partners.

Buying a house with bad credit — or, more accurately, a low credit score — can be challenging, but it’s not impossible.

Purchasing a home requires having money for a down payment, a solid history of paying your bills over at least the past year or two and a steady income. You’ll also need to meet the lender’s minimum credit score requirements. While higher credit scores earn more favorable loan terms, it's still possible to buy a home with bad credit.

ADVERTISEMENT

Mortgage loans from our partners

Rocket Mortgage - PURCHASE logo
Check Rate

on Rocket Mortgage

Rocket Mortgage

5.0

NerdWallet rating 
Rocket Mortgage - PURCHASE logo

5.0

NerdWallet rating 
Min. credit score 
580

Min. down payment 
3.5%

Check Rate

on Rocket Mortgage

Better - PURCHASE logo
Check Rate

on Better

Better

4.5

NerdWallet rating 
Better - PURCHASE logo

4.5

NerdWallet rating 
Min. credit score 
620

Min. down payment 
3%

Check Rate

on Better

Guaranteed Rate - PURCHASE logo
Check Rate

on Guaranteed Rate

Guaranteed Rate

5.0

NerdWallet rating 
Guaranteed Rate - PURCHASE logo

5.0

NerdWallet rating 
Min. credit score 
620

Min. down payment 
3%

Check Rate

on Guaranteed Rate

ADVERTISEMENT

Mortgage loans from our partners

Rocket Mortgage - PURCHASE logo
Check Rate

on Rocket Mortgage

Rocket Mortgage

5.0

NerdWallet rating 
Rocket Mortgage - PURCHASE logo

5.0

NerdWallet rating 
Min. credit score 
580

Min. down payment 
3.5%

Check Rate

on Rocket Mortgage

Better - PURCHASE logo
Check Rate

on Better

Better

4.5

NerdWallet rating 
Better - PURCHASE logo

4.5

NerdWallet rating 
Min. credit score 
620

Min. down payment 
3%

Check Rate

on Better

Guaranteed Rate - PURCHASE logo
Check Rate

on Guaranteed Rate

Guaranteed Rate

5.0

NerdWallet rating 
Guaranteed Rate - PURCHASE logo

5.0

NerdWallet rating 
Min. credit score 
620

Min. down payment 
3%

Check Rate

on Guaranteed Rate