Refinancing Soars Among Millennials

Aug 07, 2019

Photo credit: Getty Images/Pachai-Leknettip

Lower interest rates spurred a new wave of refinancing among Millennials, according to new data from Ellie Mae.

During June, the Millennial share of refinances increased from eight percent to 14 percent of all loans closed by members of this youthful demographic. Downward rates activity helped spur this new refinancing push: Among all 30-year loans closed by Millennials, interest rates on VA loans fell from 4.54 percent to 3.97 percent, while rates on FHA loans fell from 4.93 percent to 4.49 percent and rates on conventional loans dropped 4.84 percent to 4.35 percent.

Compared to June 2018, the share of refinances among Millennials rose in all three major loan categories: 18 percent to 27 percent for VA loans, four percent to six percent for FHA loans and nine percent to 17 percent for conventional refinances.

“Savvy Millennials looking to lock in lower interest rates on their mortgages have helped drive a surge in refinance activity,” said Joe Tyrrell, chief operating officer at Ellie Mae. “While the Federal Reserve’s rate cut doesn’t necessarily mean that rates on mortgages will continue to drop, we’ll be keeping a close eye on its impact on both the refinance and overall mortgage market as we do anticipate that it will effect consumer behavior, including Millennials who look to lower their payments.”

About the author

Phil Hall

Link copied

Published

Aug 07, 2019

Operations

Wells Fargo Backs 3D-Printed Housing With New Financing Program

Qualified buyers can receive a 50-basis-point lender credit as the bank looks to support alternative housing construction

Wells Fargo is expanding its involvement in the 3D-printed housing sector, announcing it has been named a preferred home mortgage lender for ICON, a company specializing in advanced construction technology.Under the arrangement, qualified buyers who finance the purchase of a...

Non-QM

eRESI Rolls Out AI Guideline Search For Non-QM Lending

Correspondent sellers will receive complimentary access to Guideline Guru's platform, allowing real-time searches of eRESI underwriting guidelines and instant AI-generated answers

eRESI has partnered with Guideline Guru to provide correspondent clients with complimentary access to an artificial intelligence-powered tool that streamlines Non-QM guideline searches and accelerates loan decision-making.The partnership will make Guideline Guru available ac...

Jul

Chandler, AZ

More from

Industry News

Trump Taps Former CFPB Deputy Brian Johnson To Lead Bureau

MBA backs the nomination as lenders await clarity on the future direction of consumer finance regulation under the Trump administration

Industry News

Jun 12, 2026

Trump Names FHFA Director Bill Pulte Acting Director Of National Intelligence

FHFA director will continue overseeing Fannie Mae and Freddie Mac while serving as acting director of national intelligence

Industry News

Jun 02, 2026

Realtor.com Launches AI Home Search Platform Built With Google

New RealAssist tool combines AI, affordability guidance and Google Maps data to engage buyers before they reach lenders

Industry News

Jun 02, 2026

Another MLS Challenges Zillow In Fight Over Listing Visibility

Realtracs joins MRED in pushing back on Zillow's listing policies, a battle with potential implications for the broader homebuying and mortgage ecosystem

Industry News

May 29, 2026

Gas Prices Are Quietly Reshaping Homebuyer Affordability

Rocket Money data suggests rising fuel costs are adding pressure to already payment-sensitive buyers as mortgage rates remain elevated

Industry News

May 28, 2026

MISMO Targets Costly TRID Fee Cures With New Mortgage Fee Standardization Framework

MBA’s standards organization says inconsistent fee naming still drives costly redisclosures and rework, with fee-related cures affecting more than 30% of mortgage loans

Industry News

May 27, 2026

Popular