When applying for a  joint mortgage,  lenders typically look at the credit scores of both borrowers. However, rather than taking the  highest score, the lender will generally use the  middle score of the lower borrower. Here’s a closer look at how it works: 

  • Fannie Mae and Freddie Mac (Conventional Loans): 
    • Lenders will use the  middle score of the lower borrower  when calculating your mortgage rate and determining your eligibility. 
    • Example: If your credit score is  680, and your spouse’s score is 750, the lender will use your  680  score as it’s the lower of the two. 
  • FHA Loans: 
    • FHA loans also follow this rule and will use the  middle score of the lower borrower. This means that even if your spouse has a significantly higher score, the lender will still rely on your score when determining eligibility and terms. 
  • VA and USDA Loans: 
    • For VA and  USDA loans, the same rule applies. The lender will use the middle score of the lower borrower  when evaluating your mortgage application. 

🏠 Why Does This Matter? 

  • Interest Rates: Your  credit score  plays a major role in determining the interest rate you’ll receive. Since the  middle score of the lower borrower  is used, it’s important to consider both borrowers’ credit health, as a lower score can potentially lead to a higher interest rate. 
  • Mortgage Approval: If one borrower has a significantly lower score, it could affect your chances of being approved for the loan or the amount you can borrow. This is why the lender will focus on the  middle score  of the lower borrower when making these decisions. 
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Final Thoughts 

When applying for a mortgage with your spouse or co-borrower,  most of the time, the lender will use the middle score of the lower borrower. This is true for  conventional loans,  FHA loans,  VA loans, and  USDA loans. While you may wish to use the higher credit score, the lender will always rely on the lower middle score to determine eligibility and interest rates. 

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