Absolutely — here’s how to qualify, even with past challenges.

If you’ve been turned down for a mortgage because of your credit score, you’re not alone.

The good news? FHA loans were built for exactly this situation.

👉 With flexible credit requirements and a history of helping borrowers rebuild, FHA loans are one of the most forgiving loan programs available today.

Here’s what “bad credit” really means when it comes to FHA — and how to qualify even if your score isn’t perfect.

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✅ FHA Credit Score Requirements (2025)

Credit Score	Down Payment Requirement
580 or higher	Only 3.5% down
500–579	10% down required
Below 500	Ineligible — but rebuilding is possible

💡 If you’re close to 580, we can help you with a fast-track credit improvement plan to get there.

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🔁 Can You Refinance With Bad Credit?

Yes — FHA also allows cash-out refinances and streamline refis for current homeowners with:

• Lower credit scores
• High debt balances
• Past financial setbacks

Many of our clients use FHA cash-out to:

• Consolidate credit card or personal loan debt
• Lower their monthly payments
• Free up cash flow during tough economic times

📘 Even if your score is under 620, FHA may still approve you — depending on the overall strength of your application.

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📉 What About Past Credit Issues?

✅ Late payments: As long as they’re not recent or habitual, you can still qualify
✅ Collections: Don’t always need to be paid off — especially medical
✅ Bankruptcy: OK 2 years after Chapter 7 discharge
✅ Foreclosure: OK 3 years after
✅ Thin credit history: Non-traditional credit can be used (rent, utilities, phone)

💡 We’ll help you document everything clearly — and explain it to underwriting with context if needed.

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🧠 Tips to Strengthen Your FHA Application

✔️ Make on-time payments for 90+ days before applying
✔️ Pay down credit cards if possible
✔️ Avoid large purchases or new debt before closing
✔️ Show stable income and employment
✔️ Consider a larger down payment if your score is under 580

Even if your score isn’t high, strong income or low DTI can balance the file.

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🏢 Why PRMI?

At PRMI, we help credit-challenged borrowers:

• Get approved with flexible FHA underwriting
• Qualify for cash-out refinance options to reduce high-interest debt
• Understand their full credit profile — and what to fix or ignore
• Build a clear path to homeownership or financial relief

You don’t need perfect credit.
You just need a lender who knows how to work with real-life financial stories.

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👇 Want to See If You Qualify With Less-Than-Perfect Credit?

Let’s review your score, income, and goals — and show you how FHA financing can still move you forward.