Study Compares Florida Home Mortgage Holders with Non-Mortgage Consumers

Whether or not you’re approved for a Florida mortgage loan means more than simple property ownership. According to a recent study by Experian Consumer Direct, there are other financial differences between individuals with and without home loans.

The report also delved into the world of those that took out second mortgages, including Florida home equity loans or lines of credit. While one might assume those with these expenses would be in worse fiscal shape than those without monthly house payments, the study proves otherwise.

Individuals with mortgages have an average credit score 55 points higher than consumers without a Florida home mortgage. Additionally, the findings show 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 average second mortgage balance nationwide in 2001 was $13,994 compared, with $21,265 in 2006 - an increase of nearly 52 percent. But people seem to be handling the debt well. It goes to show that purchasing your first home certainly IS a major expense … but it’s a worthwhile one that doesn’t have to empty your bank account.