Experian Study Highlights Key Differences Between Consumers With and Without Mortgages

Experian Consumer Direct, a leading provider of online direct-to-consumer credit reports, scores and monitoring, today announced the results of a nationwide study showing the differences between consumers with and without mortgages and consumers with and without second mortgages (including home-equity loans or lines of credit).

The study reveals that consumers with mortgages have an average credit score that is 55 points higher than consumers without a mortgage. Additionally, the study shows that consumers with second mortgages have an average credit score 81 points higher than consumers without a mortgage.

“Consumers with mortgages are doing a great job managing their credit and those with second mortgages are doing even better,” said Ty Taylor, president of Experian Consumer Direct. “Although consumers with mortgages have on average about five times more debt than those without, their average credit score is 713 — compared to 658 for consumers without a mortgage. Additionally, with an average credit score of 739, consumers with second mortgages seem to be keeping their credit in check despite the additional financial responsibility.”

The percentage of consumers with open second mortgages has increased 63 percent from 2001 (4.6 percent) to 2006 (7.5 percent). The average second mortgage balance in 2001 was $13,994 compared with $21,265 in 2006 — an increase of nearly 52 percent.