What if one of the biggest opportunities for mortgage lenders isn’t just identifying more qualified borrowers, but reaching the consumers who don’t yet believe they could become one?
I recently joined the Chrisman Commentary Daily Mortgage News podcast to talk about Experian’s latest research on prospective homebuyers and what it means for mortgage lenders. We covered a lot of ground, from modern credit scoring and expanded data to the next generation of homebuyers.
But one finding in particular has stayed with me.
Our research found that more than one-third of consumers (34%) have delayed exploring homeownership because they assumed their credit history or credit score wouldn’t qualify them[1].
Think about what that means. These aren’t necessarily consumers who applied for a mortgage and were turned down. Some are taking themselves out of the equation before a lender ever has the opportunity to evaluate them.
For an industry focused on identifying and reaching the next generation of homebuyers, I believe that’s an important challenge. And an opportunity.
Engage before the application
It nearly goes without saying that there are, of course, very real economic barriers to homeownership today. Affordability, home prices, interest rates and saving enough for a down payment continue to weigh on prospective buyers.
But there are other barriers we can do more about.
Buying a home is complicated, particularly for someone who has never been through the process. Consumers may not know what they can afford, what credit score they need, what information a lender will consider or even whether homeownership is realistically within reach.
When consumers don’t have that information, assumptions can fill the gap.
That’s why I believe our industry has an opportunity to engage prospective homebuyers much earlier in their journey.
The mortgage relationship shouldn’t begin when someone is ready to submit an application. Reaching consumers earlier gives lenders an opportunity to help them understand where they stand today and, if they’re not quite ready, what they can do to get there.
That might mean helping someone better understand their credit profile. It could mean identifying actions that could improve their financial readiness. Or it could simply mean helping a prospective buyer understand that they may be closer to homeownership than they thought.
A more informed consumer can become a more confident and better-prepared prospective borrower.
Better information can change the journey
This becomes even more important as the information available to understand consumers continues to evolve.
We’ve talked a lot recently about the mortgage industry’s transition to modern credit scoring and the opportunity to incorporate a more complete picture of consumers’ financial lives. That’s important. But better data and modern scores are most powerful when we think about how they can improve the entire homebuying journey, not just the decision that happens at the end of it.
At Experian, we already engage with millions of consumers directly through tools and resources designed to help them understand and improve their financial health. We also help lenders bring personalized credit insights into their own digital experiences.
Our acquisition of Own Up earlier this year adds another important dimension to that work by bringing us closer to consumers as they navigate the homebuying journey.
For me, that’s where the opportunity gets particularly exciting. We’re at a point now where we can bring together better data, modern credit scoring, personalized education and earlier engagement to create a more connected path to homeownership.
Don’t underestimate the next generation of homebuyers
Despite today’s affordability challenges, consumers haven’t given up on homeownership.
Our research found that nearly half of Gen Z consumers expect to be in a position to buy a home within the next four years. Younger consumers are interested. They’re engaged. And they’re paying attention to how lenders evaluate them.
The question for our industry is whether we’re engaging them early enough.
If a prospective homebuyer assumes they won’t qualify and never raises their hand, lenders may never know that opportunity existed. But if we can reach that person earlier, help them understand where they stand and give them a clearer roadmap for moving forward, the outcome could look very different.
That’s what makes me optimistic about where the mortgage industry is headed.
We have more tools than ever to make the homebuying journey work better for consumers and lenders alike. The opportunity now is bringing those pieces together so fewer people count themselves out before they begin.
I talked more about that opportunity, the shift to modern credit scoring and what our latest research means for lenders in my recent conversation with Robbie Chrisman on the Daily Mortgage News podcast.
Listen to the full conversation here: https://chrismancommentary.com/podcast/8-26-26/
[1] Methodology: Experian commissioned Atomik Research to conduct an online survey of 2,000 adults age 18+ in the United States. The margin of error for the overall sample is +/- 2.2 percentage points with a confidence level of 95 percent. Fieldwork took place between July 16 and July 21, 2026.