Rising Interest Rates Threaten Housing Affordability, but Millions Can Qualify for a Cheaper Mortgage

Impact of Credit Score on Monthly Mortgage Payments

Many home buyers who believe they have been priced out of the housing market by the combination of higher property values and interest rates may qualify for a lower rate and don't know it. That's one of the insights from the most recent Mortgage Credit Potential Index (MCPI) from CreditXpert, the predictive credit score platform that helps lenders quickly identify an applicant's near-term credit potential.

The MCPI is a monthly analysis of mid-score mortgage credit inquiries by 20-point band that serves as an indicator of changes in mortgage demand across the consumer credit spectrum and helps lenders identify opportunities to make more competitive offers while better serving applicants.

"It is becoming increasingly clear that many would-be home buyers have no idea how fast and easy it would be for them to raise their credit score and qualify for a mortgage with a lower monthly payment," said CreditXpert Vice President of Marketing, Mike Darne. "Our data show that millions of Americans could raise their scores within 30 days by taking a few simple steps. Lenders using CreditXpert's predictive analytics platform can easily show applicants how." 

The MCPI was designed to help lenders see how shifts in inquiry volume and applicant credit potential should influence their lending operations by reducing credit fallout and offering more competitive rates in an increasingly competitive mortgage market. It helps lenders craft strategies that will expand their addressable audience and offer the most competitive offers for an increasingly savvy consumer.

"CreditXpert's MCPI is a powerful tool that can help lenders craft strategies that make homeownership more accessible and affordable for all," said Darne. "As interest rates continue to climb, higher credit scores benefit both lenders and applicants. Lenders that work with applicants to increase their credit score will present more compelling offers and ultimately close more loans. Applicants that work with lenders that help them better their credit score will end up lowering their cost of homeownership." 

For more information about the MCPI or to download the most recent data, visit the company online. https://creditxpert.com/credit-potential-index-may/ 

About CreditXpert

CreditXpert was founded in 2001 with a mission to make homeownership more accessible and affordable to all. The company's predictive analytics platform helps mortgage originators, and their applicants realize the credit score potential for applicants by generating a highly accurate and detailed action plan. Since its founding, CreditXpert's platform has analyzed more than 750 million credit records. Today, most of the top 10 mortgage originators and more than 60,000 mortgage professionals leverage the company's platform. Learn more at http://www.creditxpert.com. 

CreditXpert action plans are tools meant to educate mortgage professionals and prospective consumer loan applicants and are not furnished for the purpose of improving an applicant's credit record, credit history or credit rating, or removing or modifying adverse, inaccurate, fraudulent, or other information in an applicant's credit record. CreditXpert is not a credit counseling, credit repair, or credit reporting agency. Credit scores and score changes from CreditXpert are estimates and will likely differ from credit score information used by mortgage professionals to assess loan eligibility. CreditXpert does not guarantee that scores from any other company will change by the same amount, in the same way, or at all. 

Contact: Mike Darne, 703-896-0344