A:

One mortgage analytics service provider, Ellie Mae, Inc. (NYSE: ELLI), processes almost a quarter of mortgage applications in the United States. Since August 2011, Ellie Mae has reported the average credit scores of those receiving loans used to purchase or refinance their homes.

Average FICO Score of Closed Loans

Using a sample of approximately 3.7 million loan applications, Ellie Mae estimated the average FICO score for FHA loan applications used for home purchases to be 689, as of September 2015. This score is 5 points higher than the average FICO score for similar closed FHA loans for all of 2014.

For the same month, the average FICO score for closed conventional mortgage applications used for home purchases was 755, which matches the average FICO score for similar closed FHA loans for all of 2014.

Also, the average FICO score for closed VA loan applications used for home purchases was 707. No information was provided about the average FICO score for such loans for 2014.

Average FICO Score of Denied Loans

In the same report, the average FICO score for denied FHA loan applications for home purchases was 636 in September 2015, which was 3 points higher than the average FICO score for similar denied applications for all of 2014.

For the same month, the average FICO score for denied conventional loan applications for home purchases was 700, which is 24 points lower than the average for similarly denied applications for all of 2014.

The average FICO score for denied applications for VA loans for home purchases was 642.

The Bottom Line

This sample of average FICO scores of approved and denied applications can provide you with an insight of how your credit score stacks up.

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