A common myth is that if your credit score is under 600 or you carry some debt, you can’t buy a home. That’s not always true. Some loan programs accept scores as low as 580, and having debt isn’t an automatic deal breaker.

What lenders really focus on is your debt-to-income (DTI) ratio, which is the percentage of your income that goes toward your required monthly debt payments (like the minimums on credit cards, auto loans, or student loans).

Understanding how DTI works and what loan programs allow can open the door to more options than most buyers realize.

📘 For a full breakdown of credit score requirements, DTI limits, and minimum down payments, check out this 2025 Loan Program Cheat Sheet provided by one of my preferred lenders:

👉 2025 Loan Program Cheat Sheet

Every situation is unique, so it’s always best to connect with a lender who can review your specific case and help you find the right path to homeownership.

This article is part of my buyer & seller education library. You can browse all posts by topic on the Free Guides & Blog page.