Lender's Share Of Purchase Volume Picks Up In March, According To Latest Ellie Mae Origination Insight Report
PLEASANTON, Calif. – May 1, 2015 – Lenders' share of mortgage purchase volume increased for the first time in 2015, jumping 5 percent according to the latest Origination Insight Report released by Ellie Mae® (NYSE:ELLI), a leading provider of innovative on-demand software solutions and services for the residential mortgage industry. Purchases represented 46 percent of lenders’ overall volume in March, compared to 53 percent in mortgage refinancing volume, the report found.
According to the report, the average 30-year fixed mortgage rate in March rose to 4.041%, a slight increase of .033% over February’s rate of 4.008%. Meanwhile, the closing rate for all loans climbed more than 3 percent between February and March, while average days to close for all loans in March was 44 days.
“As many anticipated, purchase loan activity is gaining momentum as the housing market enters the peak spring buying season,” said Jonathan Corr, president and CEO of Ellie Mae. “This, along with the slightly higher than expected origination volume the industry is seeing, likely contributed to the rise in days to close.”
The Origination Insight Report mines its application data from a robust sampling of approximately 66 percent of all mortgage applications that were initiated on the Encompass® all-in-one mortgage management solution. Ellie Mae believes the Origination Insight Report is a strong proxy of the underwriting standards employed by lenders across the country.
Other findings of the March 2015 Origination Insight Report include:
- Average FICO score on a closed loan dipped one point to 731.
- Share of FHA refinances at 95 LTV climbed to above 40 percent.
MONTHLY ORIGINATION OVERVIEW FOR MARCH 2015