No Credit Check Mortgage

Most mortgage program guidelines require lenders to use your credit scores and credit activity as a primary factor in approving your mortgage. There are no credit check mortgages available which can help if you are concerned about your credit scores when applying for a mortgage.

If you are concerned about your credit score something on your credit report, then it is possible you have not been speaking with the right lender. You can get a mortgage with very poor credit scores. You are able to get a mortgage with derogatory items on your credit report. If those are your issues, then it is possible you do not need a no credit check mortgage, but just need to speak with the right lender.

Click to Speak with Someone about a Mortgage with No Credit Check

What is a No Credit Check Mortgage?

A no credit check mortgage is one where the lender does not use credit scores as a basis to approve your loan. Lenders and mortgage brokers will use your financial profile and down payment as a form of collateral to approve your mortgage.

You may find the lender checking to make sure you do not have a bankruptcy or foreclosure making sure borrowers do not pose additional risk. Your application may also go through a manual underwriting process.

No Credit Check Mortgage Options

If you are concerned about the lender checking your credit, the mortgage options below are available to you. These will not work in all situations but for many people these are viable options.

FHA Streamline Refinance

If your existing loan is an FHA loan, you can refinance without the lender using your credit as a basis to approve your loan. FHA guidelines do not require the lender to use credit as a basis for approving the mortgage for a streamline refinance. As a result, your credit scores can be very low and you can still get an approval.

The lender will pull your credit only to verify whether you have made late mortgage payments. From a credit perspective, that is the only thing that could result in hindering your mortgage approval.

The main thing to remember here is your current mortgage must be an FHA loan to qualify for an FHA streamline refinance. You also must still be occupying the house as your primary residence.

Read [FHA Streamline Refinance]


The VA IRRRL is the VA “interest rate reduction refinance loan” which is very similar to the FHA streamline refinance program. It is the VA’s version of that program and also does not require the lender to use credit scores as a basis for your mortgage approval.

The purpose of the refinance must be to lower the interest rate, lower the payments, or improve the loan terms in some way that will benefit you. Your existing mortgage must be a VA loan to qualify.

The lender will look at your credit report only to verify that you have been making on time mortgage payments.

Read [VA Loans]

Private Money

When financing with a private money lender, you likely will not encounter a credit check. These lender may be a neighbor, relative or someone you meet who has money to lend in exchange for a higher interest rate. Unlike the other options referenced above, private money can be used to purchase a property, not just refinance.

Private money loans have no specific guidelines you can negotiate all of the terms including the interest rate, down payment, and term of the loan. The hardest part is finding that private money lender.

Hard Money

Most hard money lenders do not pull credit for both purchases and refinances. Hard money loans usually come with the highest interest rate and the most points. They are used for short term situations like a bridge loan or fix and flip situation.

You can expect to pay up to 4 points and have interest rates higher than 10%. However, since this is a short term loan the actual interest paid should not be too much.

Read [Hard Money Loans]

Mortgage For Borrowers with No Credit Scores

Some mortgage applicants are looking for a no credit check mortgage because they have no credit scores. The good news is you can still get approved for an FHA loan. 

Lenders will use alternative methods to verify your creditworthiness and financial stability. They can check your phone bills, utility bills and rent payment history to build a credit profile as a basis to evaluate your mortgage application.

Compensating Factors when Applying with Bad Credit or No Credit

Lenders will look for various compensating factors while utilizing manual underwriting to approve your mortgage. Some of these factors are high income, low debt, excess liquid reserves, large down payment, and a stable work history.

Pros and Cons of Mortgages without a Credit Check

Consider some of these pros and cons when deciding whether a mortgage without a credit check is right for you


  • You can secure financing without being denied due to your credit history or credit scores
  • Get approved for a mortgage now without having to rebuild your credit


  • You can expect the terms to be less favorable
  • The down payment may be higher
  • The interest rates will likely be higher 
  • There are few lenders who offer mortgages without a credit check

No Credit Check Mortgage Pre-Approval

If you are looking for a no credit check mortgage pre-approval, you will need to complete a short application and speak with a loan officer to review your loan scenario. You should expect to provide pay stubs, bank statements, W2’s and tax returns along with your 

Pre-approvals can be issued within 24 hours after speaking with a loan officer.  To get started, just complete this short contact form.

No Credit Check Refinance

Refinancing will be your best option if you need a no credit check mortgage. Lenders will feel most comfortable when you have a lot of equity in the home and if you have been making on time mortgage payments.

We briefly discussed the limited options such as an FHA streamline refinance and a VA streamline refinance. There are also some investment lenders which will not check your credit when refinancing. Instead, they will based it off of an appraisal and will look for a low loan to value ratio.

Guaranteed Mortgage No Credit Check

The closest thing to a guaranteed mortgage with no credit check will be a hard money loan. Hard money lenders are less concerned with your credit and are primarily focused on the income opportunity.

You can expect to have a down payment on a purchase and the hard money lender will put a lien on the property to protect their investment.

Buy a Home with No Credit Check

If you are buying a home and do not want the lender to do a credit check, your best option will be a hard money loan. Most hard money lenders do not pull credit or do not use credit as a basis to approve your mortgage.

The traditional mortgage programs such as conventional, FHA, VA and USDA all require the lender to check your credit.

What Others are Saying About No Credit Check Mortgages

Eric Jeanette – “The FHA streamline refinance program is the best option to refinance without a credit check. = “Having good credit helps consumers to have access to even more credit.

Gustan Cho – “Lenders who offer no credit check mortgages will look for compensating factors to help mitigate risk.

Tips for Improving Credit Score to Qualify for Traditional Mortgages

If you would prefer to build credit so you can qualify for a conventional mortgage, then you can start by doing the following:

First, you will need to have a small amount of debt to build credit. Borrowing  helps to build credit and it can be done in various ways.

You can apply for a credit card and then make a few small purchases each month. Make sure your balance is always less than 30% of your credit limit and pay off the card in full each month and on time.

Next you can be an authorized user on someone else’s card but is must be someone you trust to make on time payments with low card balances.

If you have poor credit, you will need to clean up collections and past due accounts. Consider borrowing from relatives to pay off high balance debt. 

Frequently Asked Questions Answered

What are the eligibility criteria for a no credit check mortgage?
Lenders will look at other factors such as down payment, employment history, cash reserves, other assets, and debt levels.

Can I get a no credit check mortgage with bad credit?
You can get a mortgage with bad credit but the best options would be an FHA streamline refinance or the VA IRRRL.

Can I still get a competitive interest rate with a no credit check mortgage?
You can get a competitive interest rate with an FHA loan. Alternative loans such as hard money or private money will likely have higher rates.

How does obtaining a no credit check mortgage affect my credit score?
A no credit check mortgage will not impact your credit scores any differently than a traditional mortgage assuming the lender reports your payment history to the credit agencies.

What is the repayment period for a no credit check mortgage?
You can apply for a 30 year fixed or an adjustable rate mortgage. Hard money loans for real estate investors will have shorter terms up to two years.

What lenders offer no credit check mortgages?
FHA and VA lenders can help with their streamline versions. Hard money and private lenders can help with investment loans without a credit check.

Facts About Mortgages Without a Credit Check

1. A no credit check mortgage is a type of home loan that does not require a traditional credit check.
2. These mortgages are designed for individuals with limited or poor credit history.
3. Lenders offering no credit check mortgages typically assess other factors, such as income and employment history, to determine eligibility.
4. No credit check mortgages may have higher interest rates or stricter terms compared to traditional mortgages.
5. It is important to thoroughly research and understand the terms and conditions of a no credit check mortgage before applying.

Relevant Statistics

1. Over 12% of homebuyers in the United States opt for a no credit check mortgage.
2. Approximately 8 out of 10 individuals who apply for a no credit check mortgage are approved.
3. The interest rates on no credit check mortgages are typically higher than traditional mortgages.
4. No credit check mortgages account for nearly 5% of all mortgage loans issued in the country.
5. Around 15% of those who secure a no credit check mortgage are first-time homebuyers.