HUD to introduce credit-score requirement for FHA loans

07/18/2010 | CNNMoney

The Department of Housing and Urban Development said it is planning to require a 500 or higher credit score for borrowers to qualify for a home loan insured by the Federal Housing Administration. The move will have a limited effect as no borrowers with scores lower than 500 received an FHA-insured loan, but it is the first time a minimum standard has been in place. The change is part of an effort to lower the default risk to the FHA's loan portfolio, said FHA Commissioner David Stevens.

View Full Article in:

CNNMoney

Published in Brief: