Closing rates for all loans increased to 72.2 percent in October, the highest point reached during 2018, according to the October Origination Insight Report from Ellie Mae
. This was up from the 71.7 percent level reached in September.
Purchase loans represented 68 percent of the total loan activity and refinances represented 32 percent. Closing rates on purchases remained at 76.4 percent for the second consecutive month and closing rates on refinances increased from 64.4 percent in September to 64.9 percent in October. The time to close all loans increased from 44 days in September to 45 days in October, and overall FICO scores were at 727 in for the second consecutive month.
“FICO scores remain the highest we’ve seen in 2018, indicating that lenders are not yet loosening credit availability to attract the shrinking refinance market,” said Jonathan Corr, president and CEO of Ellie Mae.