The Gathering 2026: Mortgage execs debate the hidden risks of credit score reform

Mortgage industry executives say the shift to new credit score models and lender choice could raise mortgage delinquencies, reshape pricing grids at the government-sponsored enterprises (GSEs) and ultimately push costs back onto borrowers, even if the costs for scores fall on the front end.

U.S. Department of Housing and Urban Development (HUD) Secretary “How many people believe that when this happens, if it ever does, that the GSEs are not going to look to collect the $17 billion? The LLPAs grids will be adjusted to add an extra expense factor to the rest of the grid. And is that what’s in the best interest of our borrower?”

McGuinness and other industry experts spoke on stage Tuesday during a session at HousingWire’s According to a recent But Sher provided a positive outlook too, taking into account the development of