FHFA Allows Rent Payments to Qualify Americans for Mortgages

Federal Housing Finance Agency (FHFA) Director Bill Pulte announced a significant policy change allowing Americans to use their rent payment history to qualify for mortgages through Fannie Mae and Freddie Mac. This move includes adopting the VantageScore 4.0 credit scoring model, which incorporates rent payments and removes some traditional credit history requirements, potentially benefiting millions of prospective homebuyers, especially younger millennials and Gen Z. The policy aims to address the housing affordability crisis by expanding access to homeownership and increasing competition in the credit score ecosystem. Pulte credited President Trump for supporting this directive, highlighting it as part of broader efforts to lower housing costs and improve mortgage accessibility. The change is expected to boost housing market activity as lenders begin incorporating rental payment histories alongside traditional credit scores. Supporters view this as a transformative step that could help more Americans overcome barriers to buying homes.