Refinance activity accounted for 51 percent of closed loans in October, the highest percentage of refinances since March 2015, according to new data from Ellie Mae. Purchase activity accounted for 49 percent of total closed loans, down two percentage points from the previous month. Refinances represented 33 percent of all loans closed by Millennials in September
"Interest rates continued to decline in October which had homeowners reaching out to lenders as they look to save on their monthly mortgage payments," said Jonathan Corr, president and CEO of Ellie Mae. "We are seeing refinances surpass 50 percent of closed loans, which is proof that homeowners are taking advantage of the opportunity to lock in lower rates."
Ellie Mae also reported that the time to close all loans in October was 44 days, up from 43 days in September. The time to close refinances increased to 42 days from 39 days in the month prior while the time to close purchases jumped one day to 47 days.