VantageScore 4.0 and Your Arizona Home Loan: What Changed

Did the credit score rules for Arizona mortgages just change?

Yes. For years, almost every mortgage lender used one score: Classic FICO. That's not the only option anymore.

On September 9, 2026, Fannie Mae and Freddie Mac opened VantageScore 4.0 to every approved lender. No special sign-up needed. And on October 8, 2026, HUD told FHA lenders they can use VantageScore 4.0 and FICO 10T starting January 1, 2027.

I'm Andria Townsend, a loan officer in San Tan Valley. I've lived in Arizona for more than 15 years. Here's what this means for you, in plain words.

What is VantageScore 4.0, and how is it different from FICO?

Both are credit scores. Both use your credit report. They just weigh things differently.

Classic FICO looks at a snapshot of your report. VantageScore 4.0 uses trended data. That means it looks at how your balances moved over time, not just where they sit today.

HUD says the newer models can also use non-traditional credit, like rent and utilities, when that data shows up in your file. So if you've paid rent on time for years, that could help, if it's reported.

Will VantageScore 4.0 help me qualify for a home in Pinal County?

It might. It might not. That's the honest answer.

A different scoring model can give you a different number. For some buyers, it's higher. For others, it's about the same. Your score is also only one piece. Lenders still look at your income, your debts, your savings, and the home.

Here's who I'd most like to talk to:

• Renters with a long, on-time rent history
• Buyers with a thin credit file (only a card or two)
• People who've been paying balances down over the last year or two
• Anyone who was told "you're close, but not quite" in the past

If that's you, it's worth a new look. I wrote about minimum scores in Do You Still Need a 620 Credit Score to Buy in Arizona?. This change adds a new layer to that conversation.

Which loans can use VantageScore 4.0 right now?

Here's where things stand as of October 2026:

• Conventional (Fannie Mae and Freddie Mac): Available now for loans run through automated underwriting. Fannie Mae's Lender Letter LL-2026-06 says manually underwritten loans still use Classic FICO.
• FHA: Starts with case numbers assigned on or after January 1, 2027, per HUD Mortgagee Letter 2026-11.
• VA and USDA: Ask your lender which score model applies to a VA or USDA loan.

Also, FICO 10T isn't eligible for Fannie Mae delivery yet. Fannie says it'll share more when it is.

Can a lender mix scores for me and my co-borrower?

No. Fannie Mae says one score model has to be used for all borrowers on the same loan. FHA's new rule says the same thing. You can't use FICO for one buyer and VantageScore for the other.

Lenders still pull all three credit bureaus, too. That part didn't change.

Does every lender have to offer VantageScore 4.0?

No. Lenders are allowed to use it. They don't have to. Fannie Mae says lenders that aren't ready can keep using Classic FICO.

So ask your loan officer one simple question: "Can you run my file with VantageScore 4.0 too?"

What should FHA buyers do before January 2027?

If you're planning an FHA purchase, the timing matters. The new option is tied to the date your FHA case number is assigned.

That doesn't mean you should wait. It means we should look at your file now and plan. If FICO already works for you, there's no reason to hold off. If you're on the edge, we can talk about what the January change could mean for you.

FHA's minimum score thresholds didn't change. HUD says a file below 500 still isn't eligible, and 580 is still the line for maximum financing.

What does this mean for current homeowners?

If you're thinking about a refinance or cash-out, the same Fannie and Freddie rules apply. A conventional refinance run through automated underwriting may be able to use VantageScore 4.0, depending on the lender.

If your credit got better since you bought, it's worth asking how both models see your file.

What does this mean for sellers?

More buyers may qualify over time. That's the goal regulators have talked about. But nobody can promise how many, or when. If you're selling in San Tan Valley, Queen Creek, or Florence, a pre-approved buyer still matters most. Check out whether a seller can help with closing costs too.

Frequently asked questions

Can Arizona mortgage lenders use VantageScore 4.0 now?

Yes, for conventional loans sold to Fannie Mae or Freddie Mac. Since September 9, 2026, any approved lender can use it for loans run through automated underwriting. Lenders aren't required to offer it.

When can FHA loans use VantageScore 4.0?

HUD Mortgagee Letter 2026-11 says FHA lenders can use VantageScore 4.0 and FICO 10T for case numbers assigned on or after January 1, 2027.

Will VantageScore 4.0 raise my credit score?

It depends on your file. The model looks at trends over time and can use rent and utility history when it's reported. Your score could be higher, lower, or about the same.

Can my co-borrower and I use different credit score models?

No. Fannie Mae and FHA both require the same model for every borrower on the loan.

Did FHA change its minimum credit scores?

No. HUD says the existing thresholds stay the same no matter which score model is used.

Does rent count toward my credit score for a mortgage?

It can with VantageScore 4.0 or FICO 10T, but only when your rent history is actually reported in your credit file.

Subject to eligibility, credit approval, and program guidelines. Programs can change.

Have a question about your situation?

Every file is different. I'm happy to look at yours, answer questions, and help you plan your next step. No pressure.

Get pre-approved or ask Andria a question at andriatownsend.com or call 480-487-9166.

About the author: Andria Townsend is a Mortgage Loan Originator with NEXA Mortgage, LLC, based in San Tan Valley, Pinal County. She's lived in Arizona for 15+ years and helps buyers and homeowners across the state.

Andria Townsend, Mortgage Loan Originator, NMLS #2154631. NEXA Mortgage, LLC, NMLS #1660690. Equal Housing Opportunity. This is not a commitment to lend. All loans subject to credit approval, underwriting, and program guidelines.

Sources

• Fannie Mae Lender Letter LL-2026-06, VantageScore 4.0 Broad Lender Availability (Sept. 9, 2026, updated Sept. 30, 2026)
• HUD Mortgagee Letter 2026-11 (Oct. 8, 2026)
• ABA Banking Journal: FHA formalizes use of alternative credit scoring models (Oct. 9, 2026)
• NAR: FHA sets implementation date for alternative credit score models (Sept. 2026)
• National Mortgage Professional: FHFA opens VantageScore to all GSE lenders (Sept. 8, 2026)