Closing rates on all loans rose across the boarda
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Refinances accounted for 40% of all closed loans in December, according to the latest figures from mortgage finance platform provider Ellie Mae. The figure marks a 1% increase from November, as the firm said fewer purchases take place in the fourth quarter.
It also said that some homebuyers were taking advantage of the mortgage deductibility limit before it decreased to $750,000 on December 15.
The share of FHA refinances increased to 25% of closed loans in the month, up one percentage point, and the percentage of conventional refinances increased to 47% of closed loans in December, up from November’s 45%.
December also saw closing rates on all loans rise from 70.9% to 71.2%. Closing rates on refinances inched up from 65.1% to 65.6% and closing rates on purchases rose from 75.5% to 76.1%. Closing rates also increased across FHA, conventional and VA loans for both purchases and refinances. Data also showed that the closing time for all loans increased slightly to 44 days, up one day from the month prior.
“We probably can also attribute some of the increase in closing rates to last-minute efforts by borrowers to close loans before the tax changes took effect,” said Jonathan Corr, president and CEO of Ellie Mae.
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It also said that some homebuyers were taking advantage of the mortgage deductibility limit before it decreased to $750,000 on December 15.
The share of FHA refinances increased to 25% of closed loans in the month, up one percentage point, and the percentage of conventional refinances increased to 47% of closed loans in December, up from November’s 45%.
December also saw closing rates on all loans rise from 70.9% to 71.2%. Closing rates on refinances inched up from 65.1% to 65.6% and closing rates on purchases rose from 75.5% to 76.1%. Closing rates also increased across FHA, conventional and VA loans for both purchases and refinances. Data also showed that the closing time for all loans increased slightly to 44 days, up one day from the month prior.
“We probably can also attribute some of the increase in closing rates to last-minute efforts by borrowers to close loans before the tax changes took effect,” said Jonathan Corr, president and CEO of Ellie Mae.
Related stories:
Refinances edged higher in December says Ellie Mae
Mortgage credit availability declines in December
