Can You Get a Mortgage with a Fair Credit Score

Can You Get a Mortgage with a Fair Credit Score

Getting a mortgage is one of the biggest financial steps most people take — and your credit score plays a crucial role in whether you’ll be approved and what kind of deal you’ll be offered. But what if your credit score isn’t perfect? If you’ve checked your report and discovered that your rating falls into the ‘fair’ category, you might be asking: can you get a mortgage with a fair credit score in the UK?

The answer is yes, you can get a mortgage with a fair credit score, but your options may be more limited, and you might not qualify for the most competitive interest rates. In this article, we’ll explore what a fair credit score means, how it affects mortgage applications, what lenders are looking for, and how you can improve your chances of approval.

What Is a Fair Credit Score in the UK

Each credit reference agency uses its own scoring system and rating categories. Here's how they define a fair credit score:

• Experian (0–999): Fair = 721–880

• Equifax (0–1000): Fair = 531–670

• TransUnion (0–710): Fair = 566–603

A fair credit score means your credit history is average. You’re not high risk, but you’re not considered a low-risk borrower either. It suggests you may have a few missed payments or short credit history, but nothing seriously damaging like recent defaults, County Court Judgments (CCJs), or bankruptcy.

Can You Get a Mortgage with a Fair Credit Score

Yes — many lenders are open to applicants with fair credit scores. In fact, mortgage approval is based on much more than just your credit score. Lenders will also look at:

• Your income and employment status

• Deposit size

• Outstanding debts and financial commitments

• Affordability calculations

• Stability of your financial history (e.g. length of employment and address history)

If you have a fair credit score, you may still be approved for a mortgage, especially if the rest of your financial profile is strong.

How Your Credit Score Affects the Mortgage You’re Offered

Your credit score doesn’t just influence whether you're approved — it can also affect the type of mortgage, the interest rate, and the size of your deposit.

Here’s how:

• With a good or excellent credit score, you’re likely to be offered high street lenders with low interest rates and lower deposit requirements (sometimes as little as 5%)

• With a fair credit score, you might be approved by mainstream or specialist lenders, but possibly at a higher interest rate and with a larger deposit requirement (e.g. 10–15%)

• If your credit score is at the lower end of fair or edging into poor, you may need to use a mortgage broker to access specialist lenders

Real-World Example

Tom and Lisa had a joint credit score in the fair range. They had one missed credit card payment in the past two years and a moderate amount of debt. With a 15% deposit and stable employment, they applied for a mortgage through a broker and were approved by a mainstream lender — albeit at a slightly higher interest rate than applicants with excellent credit.

Meanwhile, Ben, also with a fair score, tried to apply directly with a high street lender and was declined due to affordability concerns. With a broker's help and a 20% deposit, he secured a deal with a specialist lender who was more flexible with his credit history.

How to Improve Your Chances of Getting a Mortgage with Fair Credit

Even if your score is fair, you can boost your chances by strengthening the rest of your financial profile:

1. Save a larger deposit
A deposit of 10–15% (or more) reduces risk for the lender and opens more options.

2. Pay off outstanding debts
Lower debt means better affordability scores.

3. Don’t apply for other credit just before or during your mortgage application. Multiple hard searches can reduce your score.

4. Make sure you're on the electoral roll
Being registered to vote helps verify your identity and builds trust with lenders.

5. Use a mortgage broker
A broker has access to a wider range of lenders, including those who specialise in working with fair or limited credit histories.

6. Provide proof of consistent rental payments
Some lenders now accept rent payments as part of affordability and creditworthiness.

7. Review your credit report for errors
Ensure your report is accurate with all three agencies (Experian, Equifax, TransUnion). Dispute any mistakes early.

How Much More Might You Pay with a Fair Score

With a fair credit score, your interest rate may be higher than someone with an excellent score. For example:

• A borrower with an excellent score might get a 2.5% fixed rate

• A borrower with a fair score might be offered a 3.5%–4.5% fixed rate

Over a 25-year term, this can add up to thousands of pounds in additional interest. That’s why it’s worth improving your score before applying if you have the time.

Final Thought

A fair credit score won't block you from getting a mortgage, but it can limit your options and lead to higher costs. The good news is that many lenders consider your whole financial picture, not just your score.

If your credit is fair, focus on maximising your deposit, reducing your debts and working with a broker to find the right lender. With careful preparation, you can secure a mortgage and take a confident step towards homeownership.