What credit score do self-employed borrowers need for a mortgage?
The full answer
Credit-score minimums are set by loan program, not by employment type. FHA allows scores as low as 580 with 3.5% down (and 500–579 with 10% down); conventional loans generally start at 620; VA and USDA have no hard minimum but most lenders look for around 620.
Non-QM programs that self-employed borrowers often use — bank statement, 1099, P&L-only — typically want 620–660 at minimum, with materially better rates and down payments at 700+. A strong score can also offset a weaker income picture or a shorter history.
If you have no traditional credit score (common for newcomers), FHA and many portfolio lenders accept non-traditional credit: 12 months of on-time rent, utilities, and insurance. The score conversation and the income-documentation conversation are separate — being self-employed mainly affects the latter.
Related questions
- How much down payment do you need for a self-employed mortgage?
- Can I buy a house with an ITIN instead of a Social Security number?
- Do I need two years in business for a bank statement loan?
Sources
Educational information only — not financial advice, and not a quote, pre-approval, or offer of credit. Program rules and ranges are illustrative and vary by lender. Mortgage Merlin is a publisher, not a lender or broker.