To improve your credit score before buying a house: (1) pay revolving balances below 30% (ideally under 10%) of their limits, (2) dispute and fix report errors, (3) never miss a payment, (4) avoid opening or closing accounts before applying, and (5) keep old accounts open. Balance paydown and error fixes can move your score in 30–60 days; payment history takes longer.
Why your score matters for a mortgage
Your credit score sets both whether you qualify and the rate you’re offered. The difference between a 660 and a 760 score can be a full percentage point on your rate — tens of thousands of dollars over the life of a California-sized loan. Lenders use the middle of your three bureau scores (and the lower middle score of two borrowers).
The highest-impact moves
- Pay down credit-card balances. Utilization (balance ÷ limit) is about 30% of your score. Getting each card and your overall usage under 30% — ideally under 10% — is the fastest legitimate boost, often visible in one to two statement cycles.
- Fix report errors. Pull all three reports and dispute wrong balances, duplicate accounts, or fraud. Corrections can lift a score quickly.
- Pay every bill on time. Payment history is ~35% of your score; even one 30-day late can drop you 50+ points. Set autopay.
- Don’t open or close accounts. New inquiries and closed cards can lower your average age and available credit right when you need stability.
- Keep old accounts open. Length of history helps; leave old cards open with small recurring charges.
How fast can it move?
Utilization and error fixes can help within 30–60 days. Rebuilding after late payments or collections takes months. A specialized tactic — rapid rescore — lets a lender update corrected balances in days when you’re close to a threshold; ask your broker.
Can’t wait? You may still qualify
If your score isn’t there yet, options exist. FHA loans allow 580 (sometimes 500 with 10% down), and a broker can place a lower-credit file with the right lender. See also what credit score you need to buy a house.
Bottom line: Don’t guess — have a broker read your credit and tell you exactly which two or three moves lift your score fastest for your file. It’s free.
Frequently asked questions
How fast can I raise my credit score to buy a house?
Paying down card balances and fixing report errors can help in 30–60 days. Recovering from late payments or collections takes several months of clean history.
What credit score do I need to buy a house?
FHA allows 580 (sometimes 500 with 10% down); conventional typically wants 620+. 700+ earns meaningfully better rates.
Does paying off collections raise my score?
It can, and it removes a barrier to approval, but newer scoring models weigh recent payment behavior more heavily. Ask your broker whether paying, settling, or a pay-for-delete helps most before you act.
Should I pay off my car loan before buying a house?
Not necessarily — installment debt affects your score less than credit-card utilization. Paying down cards usually helps your score and your debt-to-income ratio more. Check with your loan officer first.
Save Financial, Inc. — NMLS #377740, DRE #01875766. Equal Housing Opportunity. Figures are illustrative for 2026 and not an offer of credit or a guarantee of rates or approval.