FORT LAUDERDALE, Fla., Feb. 26, 2026 (GLOBE NEWSWIRE) — AD Mortgage, one of the nation’s leading wholesale lenders, has released a comprehensive nationwide credit score study, Credit Score vs. Mortgage Cost: How Long It Takes to Improve and How Much It Can Save, State by State, revealing how credit readiness directly impacts homebuying affordability across the United States.
The analysis demonstrates that even modest improvements in a borrower’s FICO score can translate into tens of thousands of dollars in mortgage interest savings over the life of a 30-year loan. While the 760-credit score threshold for securing the most competitive mortgage rates remains consistent nationwide, the financial impact of reaching that level varies significantly by region.
Among the most notable findings is the variation in savings between states with higher home prices and those where borrowers face steeper proportional rate penalties. In California, borrowers who improve their credit score to 760 can save approximately $42,753 over the life of a loan. In Texas, borrowers can save approximately $26,881, but face one of the highest proportional penalties for sub-760 scores, with having a cost of more than 10.7% of the total loan amount.
Key Findings From the Report:
- Borrowers nationwide can save between $10,000 and $46,000 in mortgage interest by improving their credit score to 760, depending on the state.
- Hawaii, California, and Massachusetts rank among the states with the highest absolute dollar savings, driven largely by higher median home values.
- Alabama, Mississippi, Georgia, Louisiana, and Texas show some of the steepest rate penalties for borrowers below 760, meaning interest savings can exceed 10% of the total loan amount once top-tier credit is achieved.
- In most states, improving an average FICO score to 760 takes between 1.5 and 3 years, though it can take longer in states with lower average credit profiles.
- When measured against local household income, the affordability impact becomes even more pronounced. In higher-cost states such as Hawaii and California, savings from achieving a 760 score can exceed 40% of annual household income.
The findings highlight how credit score gaps influence purchasing power differently across housing markets. In higher-priced states, even small improvements in interest rates translate into substantial lifetime dollar savings. Conversely, in lower-cost states, the penalty for not having top-tier credit is often proportionally larger relative to loan amount and income.
“This data reinforces just how central credit preparation is to homebuying affordability,” said Max Slyusarchuk, CEO of AD Mortgage. “Two borrowers with similar incomes can experience dramatically different buying power depending on their credit score and the state in which they purchase. Even a 20- or 30-point difference in FICO can mean tens of thousands of dollars over the life of a mortgage.”
Study Methodology and Assumptions:
The report uses a combination of publicly available data and modeled scenarios, including:
- The estimated time required for consumers in each state to improve their FICO score to 760
- The difference in 30-year mortgage interest payments between average-score borrowers and 760+ borrowers
- The impact on affordability relative to state household income levels
- Mortgage assumptions based on a 30-year fixed-rate using state median home prices and a standardized 15% down payment
The complete state-by-state dataset, savings tables, and methodology are available in the full AD Mortgage report: Credit Score vs. Mortgage Cost: How Long It Takes to Improve and How Much It Can Save, State by State.
For more information or to request access to the full dataset, visit www.admortgage.com.
About AD Mortgage
As a premier direct mortgage lender, AD Mortgage offers a full spectrum of Conventional, Government, and Non-QM loan products with 24-hour turnaround times and some of the most competitive rates in the industry. In addition to their AD Power Jumbo loan product, AD Mortgage offers programs for Prime borrowers, Foreign National borrowers, as well as borrowers with imperfect credit histories. Programs with no income verification are also offered for investment property loans.
The company offers free concierge services, bank statement reviews, marketing tools and resources, and more to support the brokers they serve. In 2025, AD Mortgage received several prestigious industry awards, including HousingWire Vanguard Award, PROGRESS in Lending’s Lending Luminary Award, National Mortgage Professional’s Legend of Lending Award, HousingWire Industry Titan Award. This year, the company was also featured in CBS, Bloomberg, and Inc., underscoring its growing influence and leadership in the mortgage industry.
A&D Mortgage LLC is an Equal Housing Lender. NMLS ID #958660. 899 W Cypress Creek Rd, Fort Lauderdale, FL 33309. For important disclosures and state licensing information: https://admortgage.com/important-disclosures/
About Imperial Fund Asset Management
Imperial Fund Asset Management (“Imperial Fund”) is the investment manager for Imperial Funds founded in 2014 and headquartered in Fort Lauderdale, FL. Imperial Fund seeks to achieve attractive risk-adjusted returns by exploiting inefficiencies in the residential and commercial real estate lending market. Imperial Fund acquires and manages investment portfolios primarily comprised of mortgage loans, real estate debt securities, loans, and related instruments. Imperial Fund’s team combines a deep understanding of credit, loan level analysis, acquisition and management of mortgage loans, and mortgage origination platforms. Imperial employees bring more than 55 years of combined experience in residential and commercial mortgage origination, asset and risk management, finance, capital markets, and structured finance.
Contact Information:
Andy Restrepo
AD Mortgage, LLC
(645) 240-2300
[email protected]
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