FICO Intoduces FICO 8 built for Lenders

By
Real Estate Agent with Watson Realty Corp.

FICO 8 was just introduced and made available to the three credit reporting agencies in order to better measure the lender's risk and the buyer's likelyhood to repay as agreed. FICO 8 was developed specifically for real estate purposes.

One article claims that the new valuation system improves the predictablity by 15% over present systems used today. Loan servicers will find that it aids them in early detection of a borrowers future risk, and therefore initiating mitigation early to avoid foreclosure.

Several articles were released over the past few days so more should be on the horizon as to what effect this should have on future real estate transactions.  

 

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Tags:
new homes
fico
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fico 8

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Rainer
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Andy Kress
Rental Solutions Oahu - Honolulu, HI

Well, that is interesting. How can they predict future credit when they have trouble with current credit?

Oct 29, 2010 09:00 AM #1
Rainmaker
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Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

I have been hearing about FICO 8 for over a year, just have not heard when it would be in place!

Oct 31, 2010 03:56 AM #2
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Rainmaker
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Ellen Dittman

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