Millennials Nonplussed by Rising Interest Rates – NMP
Industry News

Millennials Nonplussed by Rising Interest Rates

Nov 14, 2018
Millennials are plunging ahead into homeownership, despite the growing expense contributed by rising interest rates, according to new data from Ellie Mae

Millennials are plunging ahead into homeownership, despite the growing expense contributed by rising interest rates, according to new data from Ellie Mae.
 
During September, 89 percent of Millennial loan volume was for home purchases, three percentage points higher than a year ago, while 88 percent of closed purchase loans activity by this demographic were conventional mortgages, compared to 81 percent in September 2017; only 27 percent of Millennial loan volume involved the FHA product and two percent relied on VA loans.
 
“Despite rising interest rates, Millennials are still looking to buy homes,” said Joe Tyrrell, executive vice president of corporate strategy for Ellie Mae. “We’re still seeing the majority of Millennial loans fall into the conventional loan category, and with interest rates increasing, there is an even greater opportunity for the industry to educate these buyers on all of the options that they have available to them, including some of the higher loan-to-value products and FHA loan programs.”
 
Ellie Mae also determined that Millennial males, both single and married, were listed as the primary borrower on 61 percent of closed loans in September while women were listed on 32 percent and no specified gender was cited on the remainder. The average age of all Millennial borrowers was 29.7, almost equal to the 29.4 average age from a year ago.
 
About the author
Phil Hall
Link copied
Published
Nov 14, 2018
Get the NMP Daily
Analysis and Data
MBA: Mortgage Payments Climb Despite Smaller Loan Amounts

September's $53 increase ended three months of payment relief, with affordability deteriorating in 39 states

Three months of declining mortgage payments came to an end in September, as higher rates pushed the median monthly payment on purchase applications up $53 despite a slight decline in loan amounts.The median principal-and-interest payment rose to $2,215 from $2,162 in August,...

Continue reading
Jumbo
Aven Brings HELOC-Style Financing to Home Purchases, Promising Seven-Day Closings

The $2 million credit line combines 30-year fixed-rate repayment with reusable borrowing capacity

Fintech lender Aven is taking its home-equity lending model into the purchase mortgage market, offering qualified buyers up to $2 million in financing and promising closings in as little as seven days.The California-based company announced Friday that its new Home Purchase L...

Continue reading
Renew your NMLS License — for free.

Enjoy access to a free NMLS renewal class when you attend an in-person event.

Find an event
More from
Industry News
Fed Holds Rates, But Pricing Pressures Persist

Rising Treasury yields and fresh inflation data complicate rate locks, borrower qualification, and lender margins as markets anticipate another hike in December

Industry News
Oct 29, 2026
Zippy Adds Capital For Manufactured-Home Lending Push

The $20 million investment from Saluda Grade will support expansion beyond 27 states and new loan products across wholesale, retail, and community channels

Industry News
Oct 16, 2026
Inflation Hits 3.7%, Putting Mortgage Rate Relief At Risk

September’s inflation pickup puts recent rate improvements at risk, potentially eroding affordability gains from lower home prices and seller concessions

Industry News
Oct 14, 2026
PLACE Acquires Ardley, Expanding Push To Turn Existing Borrowers Into New Loans

The latest deal connects borrower retention technology with Maxwell's origination platform and PLACE's real estate network, creating new opportunities for lenders

Industry News
Oct 09, 2026
Equifax, TransUnion Launch New Tools To Cut Credit Report Costs

Both bureaus introduce ways to purchase credit scores separately from reports, while Equifax reports growing VantageScore adoption and extends $1 pricing through 2028

Industry News
Oct 09, 2026
Newrez, eXp Realty Form Joint Venture To Target Purchase Business

Revenos Mortgage is set to launch in early 2027, replacing eXp's joint venture with Kind Lending

Industry News
Oct 08, 2026