Lenders selling loans to Fannie Mae, Freddie Mac, and the FHA have begun widely adopting VantageScore 4.0 and FICO 10T, marking the biggest update to mortgage credit scoring in years.

Key Highlights:  

  • VantageScore 4.0 now factors in rent, utilities, and telecom payments — helping people with thin credit files.

  • FICO 10T uses “trended data” — looking at your payment behavior over the past 24 months instead of just a snapshot.

  • These models aim to make home loans more accessible to responsible borrowers who may not have strong traditional credit histories.

What It Means for You:  

  • On-time rent and utility payments can now boost your chances of mortgage approval.

  • Consistent good habits matter more than ever.

  • Score differences of 20+ points are possible under the new models.

Quick Tip: Keep your credit card utilization under 30%, pay all bills on time, and check your free weekly credit reports at AnnualCreditReport.com.

This is a developing shift. Not every lender uses the new scores yet, so always confirm which score your lender relies on.