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Credit scores for homebuyers: US and Canada
Your credit score is a three-digit summary of information in your credit file. Lenders use scores — along with income, debts, and other factors — when deciding whether to approve a mortgage and on what terms. This page explains what scores are, common ranges, the main factors behind FICO® Scores, and how to check your file for free. It is educational only, not a credit score guarantee or lending offer.
What a credit score is
Credit scores are calculated from data in your credit reports at consumer reporting agencies. Different lenders may use different score models. Higher scores generally indicate lower predicted credit risk; lower scores indicate higher risk. Scores are not the only input: income stability, employment, down payment, and debt ratios also matter for mortgages.
Common score ranges
US Base FICO® Scores commonly range from 300 to 850, according to myFICO. myFICO also publishes interpretive bands for the general population (for example, scores below 580 described as poor, and 800+ as exceptional). Industry-specific FICO Scores can use a wider scale. Other consumer scores exist; lenders may not use the same model you see in a free app.
Canada Canadian credit scores typically range from 300 to 900. Equifax Canada publishes illustrative bands for its scores (for example, excellent around 760–900). Equifax and TransUnion maintain separate files; not every creditor reports to both, so scores can differ.
What goes into a FICO Score
According to myFICO, FICO Scores group credit-report data into five categories for the general population:
- Payment history (35%) — whether you pay accounts on time.
- Amounts owed (30%) — balances and how much of available credit you use.
- Length of credit history (15%) — age of accounts.
- New credit (10%) — recent accounts and inquiries.
- Credit mix (10%) — variety of account types.
Importance can vary by person. Canadian scoring models also weigh payment history and debt levels heavily, though exact formulas differ by bureau and product.
How to check for free
US AnnualCreditReport.com is the only website authorized under federal law as the centralized source for free credit reports from Equifax, Experian, and TransUnion. The FTC confirms you can request reports at AnnualCreditReport.com, and that the three nationwide bureaus permanently allow free weekly online reports from each agency. Avoid look-alike sites that push paid subscriptions.
Canada The Financial Consumer Agency of Canada explains how to get your credit report and score. You can access free credit reports online from Equifax Canada and TransUnion Canada (Consumer Disclosure). Equifax notes that its Consumer Credit Report can include score access at no charge as required by consumer reporting legislation. TransUnion’s free Consumer Disclosure is the legislated file disclosure and does not include the TransUnion Credit Score; FCAC notes free online TransUnion score access in Quebec. Prefer official bureau and FCAC pages over third-party “free score” ads.
Practical habits (general)
Pay on time, keep revolving balances low relative to limits, and avoid opening many new accounts just before a mortgage application. Dispute errors through the bureau’s official process. Building credit takes time; there is no honest overnight “hack.”
Educational content only — not financial advice. FICO is a registered trademark of Fair Isaac Corporation. Confirm current free-access rules on official FTC, FCAC, and bureau sites.