Can You Get a Mortgage with a 570 Credit Score?

A 570 credit score doesn’t automatically disqualify you from getting a mortgage. While many lenders prefer higher credit profiles, several loan programs — including FHA and select non-prime mortgage options — allow borrowers to qualify with scores in the mid-500s.

Approval usually depends on factors like your down payment, debt-to-income ratio, and recent payment history. Understanding which lenders accept a 570 score and what requirements you must meet can dramatically improve your chances of getting approved.

We have decades of experience in helping individuals with lower scores to purchase or refinance a home. If you were told you cannot qualify by others, then give us a chance to help you. Simply complete this short form and one of our loan officers will setup a time to discuss your options.

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Mortgage Options with a 570 Credit Score

There are a handful of loan programs available to individuals with low credit scores. Although there are a few options, not all lenders will accept lower scores despite being allowed per agency guidelines.

Once you review the options below, contact us to speak with one of our loan officers. We are experts in working with lower credit scores.

FHA Loans for Borrowers with a 570 Credit Score

The most common type of loan available to borrowers with a 570 credit score is an FHA loan. Keep in mind, that in order to qualify for a 3.5% down payment, you must have at least a 580 credit score.

For borrowers with a credit score between 500-579, you may still qualify for an FHA loan, but will be required to put 10% down.

The basic requirements to get approved for an FHA loan are:

Two year work history
Fully document your income
Minimum credit score of 500
Home must be your primary residence
Maximum debt to income ratio of 56.9%

FHA loans can be used to purchase or refinance a home. Plus, the FHA 203k rehab loan is a great way to buy a home and also finance the repairs or improvements needed.

VA Loan with a 570 Credit Score

One of the strange phenomenons is the high number of eligible veterans who have less than perfect credit. We are not sure if there are any studies that can detail some numbers on the topic, but we seem to hear from many Veterans who are credit challenged.

Many veterans may be surprised to know that VA guidelines do not specify a minimum credit score to qualify. Lenders are still required to verify income, employment, and VA eligibility. However, many lenders have what are called “lender overlays” in the industry which are self emposed guidelines that make it more difficult to secure a loan approval.

If you already own a home with a VA loan but you are looking to refinance, we can do this for you using the VA IRRRL program with low credit.

If you are having difficulty quailfying for a VA loan due to credit issues, then give us a chance to help you.

USDA Loan with a 570 Credit Score

USDA loans are a great option for home buyers who are looking for a home in a rural area with 100% financing. That said, one of the significant challenges is finding a company willing to help people with low credit scores.

You may find other lenders requesting scores over 600. However, there is no minimum credit score requirement for a USDA loan. The reality is lenders are looking to balance risk. When you have a zero down program, buyers have little financial commitment with just as little at risk if the home is foreclosed upon. As a result, many lenders offering USDA loans “prefer” to work with borrowers who have good credit and a positive payment history. This is where we stand out from the others and can help you with low credit.

Here is what is needed to get approved for a USDA loan:

The home must be located in a rural area as designated by the USDA
The home must be used as your primary residence
The home cannot be used as a farm or for commercial purposes
You must fully document your income
Your income must fall within the USDA income limits for your county

If you are interested in a USDA loan, contact us to discuss your options. Read more about usda loans.

Non-Prime Loans for Borrowers with a 570 Credit Score

In addition to FHA loans, there are also what are known as non-prime loans / non-qm loans. These are loan products that are offered by alternative mortgage lenders that provide financing to borrowers with bad credit, and that face other challenges qualify for conventional and FHA loans. These lenders provide home loans to borrowers with credit scores of 570 or below.

Compensating Factors That Can Help You to Qualify

When loan applicants have lower credit scores, underwriters look for compensating factors to offset the risks associated with having poor credit. Some but not all of the compensating factors are as follows:

High income
Low debt to income ratio
Estimated post closing cash reserves
Employment history and job stability
Co-signer with good credit

Having one or more of these compensating factors in your corner can help score a mortgage approval. One of the key elements is to have an experienced loan officer who knows how to prepare the loan package and a solid case to the underwriter prior to their review.

Getting a mortgage with a 570 credit score is absolutely possible, but it requires choosing the right loan program and working with lenders that specialize in low-credit or alternative-documentation options. FHA loans provide the most flexible path, though non-prime lenders can help borrowers with unique income situations or past credit challenges.

By strengthening compensating factors — such as lowering your debt, documenting rental history, or increasing your down payment — you can improve both your approval odds and the long-term affordability of your loan. With the right preparation, a 570 score can still be your starting point toward homeownership.

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Frequently Asked Questions

Q: Can I get a mortgage with a 570 credit score?

Yes. While many lenders prefer scores of 580+, FHA loans allow qualifying borrowers with scores as low as 500. With a 570 score, you’ll typically need a 10% down payment unless the lender uses compensating factors or offers non-prime mortgage programs.

Q: What loan programs are available for a 570 credit score?

Borrowers with a 570 credit score may qualify for:

FHA loans (most common and flexible)
Non-prime or subprime mortgages
Bank statement loans (for self-employed borrowers)
Hard money loans (for special situations)
Conventional loans generally require a higher score.

Q: Do all FHA lenders accept a 570 credit score?

No. Although FHA rules allow scores as low as 500, many lenders place “overlays” on top of FHA guidelines and require 580–620. You may need to work with a lender that specializes in FHA loans for lower scores.

Q: How much down payment is required with a 570 credit score?

FHA typically requires 10% down for borrowers under a 580 score. Some non-prime lenders may allow lower down payments, but interest rates and fees may be higher.

Q: Will a manual underwrite help me qualify with a 570 credit score?

Yes. A manual underwrite allows lenders to consider additional factors, such as rent history and low DTI, when automated systems deny the file. Manual underwriting does require more documentation.

Q: What debt-to-income ratio is allowed with a 570 score?

Most lenders limit DTI to 43%–50% for a 570 credit score. Lower DTIs improve approval odds and may eliminate the need for extra conditions.

Q: Can I get pre-approved with a 570 credit score?

Yes, but lenders may request more documentation, verify rent history, or require reserves. Pre-approvals for buyers under a 580 often take longer.

Q: Is rental history important with a 570 score?

Very. A clean 12-month rent history can significantly improve your chances of approval, especially on manually underwritten FHA loans.

Q: Can I get a mortgage with a 570 score and no down payment?

Usually not. USDA and VA loans offer zero-down options, but they typically require scores closer to 600+. With a 570, FHA is usually the primary path.

Q: Will adding a co-signer help me qualify?

A co-signer can strengthen income and DTI, but lenders use the lower credit score, so your 570 score will still guide loan eligibility.

Q: How much income do I need to qualify with a 570 credit score?

There’s no universal minimum. You simply need enough stable, documented income to meet the DTI guidelines for your chosen loan program.

Q: How long does it take to improve a 570 credit score?

Many borrowers can raise a 570 score into the 600s within 30–90 days by lowering credit utilization, disputing errors, and avoiding new credit inquiries.

Q: What credit issues could cause a denial at 570?

Common reasons include:

Recent late payments
High credit card utilization
Too much existing debt (high DTI)
Unstable employment
Applying with a lender that requires higher scores

Q: Can I qualify with a recent bankruptcy or foreclosure?

Yes. FHA requires:

2 years after Chapter 7 bankruptcy
1 year into a Chapter 13 with on-time payments
3 years after foreclosure
Non-prime lenders may approve sooner, depending on the file.

Q: Will my mortgage rate be higher with a 570 credit score?

Yes. Lower credit scores typically result in higher interest rates, especially with non-prime programs. FHA helps reduce the impact by offering standardized rate structures for lower scores.

Q: Will I pay more in mortgage insurance with a 570 score?

FHA mortgage insurance costs are the same regardless of credit score, but non-prime loans may charge higher premiums or additional lender fees.

Q: Can self-employed borrowers qualify with a 570 score?

Yes. FHA accepts self-employed borrowers with 2 years of tax returns. Non-prime lenders may offer bank statement loans, which are more flexible but come with higher down payments and rates.

Q: Can I refinance later if I buy with a 570 score?

Yes. Many borrowers purchase with FHA or non-prime loans at 570 and refinance to a lower-rate conventional mortgage once their score improves.

Q: Are there lenders that specialize in 570-credit mortgages?

Yes. Several lenders focus on FHA and non-prime loans tailored for borrowers with lower credit scores, flexible income documentation, and past credit challenges.

Q: Is it better to wait until my score reaches 580?

Often yes — because hitting 580 unlocks FHA’s 3.5% down payment, saving you thousands. Even a small improvement can expand your loan options and reduce costs.

Q: Can I get an FHA mortgage with a 570 credit score and gift funds?

Yes. FHA allows gift funds for down payment and closing costs, though you may still need to meet the 10% down requirement unless other compensating factors apply.

Q: What documents will lenders require at a 570 score?

Expect:

2 years of income documentation
Bank statements
Rent verification
Explanation letters
Proof of reserves (in some cases)
Lower scores usually mean stricter documentation standards.