Key takeawayFHA is comfortable at 600, more lenders, smoother approvals, same 3.5% down.
What concretely changes at 600
- FHA is comfortable at 600, more lenders, smoother approvals, same 3.5% down.
- Conventional is one push away at 620; HomeReady 3%-down waits on the other side.
- Select DPA programs start appearing (some local programs go to 600–620); the big state programs still want 640.
- Strategy bifurcates: buy FHA now, or sprint to 620–640 for conventional + DPA.
Requirements at this band
| FHA | Solid at 600, 3.5% down |
|---|---|
| Conventional | 620 minimum, 20 points away |
| DPA | Limited; major programs at 640 |
| Concessions | FHA 6% / conventional 3–6% by down payment |
Figures are typical market ranges as of October 2026. Actual terms depend on the lender, your credit, the property and the program, and are confirmed on your Loan Estimate or term sheet.
Smart moves at 600
- Price the wait: 20–40 points unlocks conventional and DPA, often worth 60–90 days.
- If buying now, FHA with seller concessions is the optimized play.
- Get on a rapid-rescore plan immediately; do not drift.
FAQ
FHA now or wait for conventional?
Compare total cost: FHA today (with lifetime MIP factored) vs. conventional in 3–6 months. Include price appreciation in the math.
Can I get DPA at 600?
Some local/city programs, yes. State flagships (Hometown Heroes, Georgia Dream) require 640.
How fast can I reach 640?
With utilization paydowns and clean history, 60–120 days is realistic for many files.