Fannie Mae And Freddie Mac Expand Mortgage Credit Score Options

According to CNBC, Fannie Mae and Freddie Mac are now allowing lenders to use VantageScore 4.0, in addition to the classic FICO score, for all mortgages sold to the government-sponsored enterprises. The change expands a limited rollout announced in April and follows a Sept. 3 post on X from Bill Pulte, director of the Federal Housing Finance Agency, which oversees the two mortgage buyers. VantageScore 4.0 can factor in data such as rent and utility payments, which may help some borrowers qualify for a mortgage or secure a better rate, experts said. CNBC reported that about a third of mortgage denials for primary home purchases with conventional loans in 2025 were tied to a lack of credit history, according to Zillow's analysis of 2025 Home Mortgage Disclosure Act data. The article also said FHFA may reduce the number of credit reports lenders must review from three to two, while Pulte said the agency is also studying the use of a single credit report in the mortgage application process. Separately, the Federal Housing Administration will begin insuring mortgages underwritten with VantageScore 4.0 and FICO 10T on Jan. 1.