More than 2 million residential mortgages were originated during the second quarter, according to new statistics from ATTOM Data Solutions. That is 15 percent more than during the first quarter and less than 1 percent more a year ago.
During the second quarter, 926,516 of the residential loans originated were purchase loans, up 39 percent from the previous quarter and up 1 percent from a year ago, and 799,093 of the residential loans originated were refinance loans, down less than 1 percent from the previous quarter and down 2 percent from a year ago to the lowest level since the first quarter of 2014, a nearly four-year low. Also, 361,845 Home Equity Lines of Credit (HELOCs) were originated on residential properties, up 4 percent from the previous quarter and up 2 percent from a year ago to the highest level since the third quarter of 2008, a nearly 10-year low.
“Rising mortgage rates are continuing to cool demand for refinance originations, which were down to their lowest level since 2014—the last time we saw more than six consecutive months with average 30-year fixed mortgage rates above 4 percent,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Meanwhile buyers are upping the ante when it comes to down payments, evidenced by the record-high median down payment for homes purchased in the quarter, and an increasing number of buyers are getting help from co-buyers.”