Industry experts have long argued that alternative data could help close the homeownership gap, particularly for younger and minority borrowers.
“For me, it’s about going out there and hosting homebuyer events to educate, getting into the communities, to teach consumers, as opposed to business-to-business,” Adams told Mortgage Professional America.
“Teaching consumers about the availability of down payment assistance programs was a big thing for me, and it was eye-opening to learn that it’s not just the consumers, it’s also realtors and brokers.”
Fintechs and nonbank lenders are leveraging expanded data sets to reach underserved markets, though some analysts warn that broader access does not automatically translate to affordability or financial stability.
For renters looking to improve their prospects, Experian recommends monitoring credit, ensuring rent payments are reported, and building financial knowledge.