Renting to Owning: Fannie Mae's Program Extends, Elevates Credit Scores
Big news from Fannie Mae—they're extending their Multifamily Positive Rent Payment (PRP) pilot program until December 2024! This program was designed to help renters use their rent payments to establish credit or improve their credit scores.
Those who participated in the program saw an average boost of 40 points on their credit score!
As part of this extension, Fannie Mae will also cover the cost for property owners to participate.
Why is this great news for prospective homebuyers? A survey by Fannie Mae revealed that 17% of those denied a mortgage could've been approved if rent history was taken into account.
Next steps? Check with your leasing office or property management company to see if they offer positive rental payment reporting.