@disdreamin wrote:
@expatCanuck wrote:Mortgage scores are more sensitive to new accounts, inquiries, and to more than one negligible non-zero balance.
[Example: my current EX FICO 8 is 793; the (mortgage) FICO 2 is 763. I don't expect that mortgage score to be close to optimal until a year from now, when 12 months will have elapsed from the most recent INQ -- assuming that I also go from 2% util to just over 0%.]
My mortgage and FICO 8 scores have all been within 5-12 points of each the past few months I've been monitoring them. I had three new accounts under a year old until last week, and a few inquiries on one report but none on another. All the scores were very close despite that. I wonder what it is about certain profiles that cause the large variance in scores.
My mortgage scores used to be consistently around 70 points under my FICO 8's.
Now they're pretty consistently a little bit higher.
After 5 or 6 years monitoring this stuff, based on my experience, I believe that the primary differences between the mortage scores and the FICO 8 scores are as follows:
1. The "age" factors, such as inquiries, new accounts, average age of accounts... are weighed more heavily in the mortgage scores.
2. The mortgage scores are more concerned with number of zero account balances; the more the better, except that one bank card should report a balance each month.
3. The mortgage scores penalize more heavily for very high utilization individual accounts.
4. The FICO 8 scores penalize more heavily for high aggregate utilization.
5. Very low installment utilization (9% or lower aggregate) is rewarded in FICO 8, usually ignored or given little effect in mortgage scores.
@disdreamin wrote:
@SouthJamaica wrote:
My mortgage scores used to be consistently around 70 points under my FICO 8's.
Now they're pretty consistently a little bit higher.Very interesting, I don't think I've ever seen my mortgage scores higher than my FICO 8's. Right now my FICO 8's are 811-820 and my mortgage scores were 804-808 on the last pull (possibly slightly higher now that one of the new accounts has aged over a year, I'll know next week). I happened to accidentally hit AZEO this week, so that may help my mortgage scores too. Maybe it's the new accounts and inquiries that have been impacting my mortgage scores more.
AZEO was basically designed for the mortgage scores, so yes that helped your mortgage scores.
The new accounts and inquiries, on the other hand, pull your mortgage scores down, to a greater degree than they would your FICO 8's.