Where Are Refinancers More Likely To Get Approved? – NMP Skip to main content

Where Are Refinancers More Likely To Get Approved?

Navi Persaud
Mar 26, 2021
Photo of a suburban home after the rain.

A report from LendingTree explored the metros where refinancers are most likely and least likely to be approved. While refinance activity has cooled off from its mid-2020 spike, folks are still looking to take advantage of mortgage rates that are still more than 30 basis points than they were in March 2020.

"To determine where homeowners are most likely to be approved for a refinance, LendingTree used data from the latest Home Mortgage Disclosure Act (HMDA) to analyze more than 2.8 million mortgage refinance applications in the nation’s 50 largest metropolitan areas," according to the report.

"What LendingTree found was that while most mortgage refinances were approved, many were declined for common reasons, including a high debt-to-income ratio, poor credit history and lack of collateral."

The top three metros where borrowers are most likely to be approved for a mortgage refinance include Salt Lake City, Portland, OR and St. Louis. The top three metros where borrowers are least likely to be approved include Miami, Houston and San Antonio.

The report also showed that across the 50 largest metros in the U.S., close to 83% of mortgage refinances were approved. Of the 17% of applications that were denied, 26.5% were due to a too-high DTI ratio. Meanwhile, 23% of the number of denied applications were due to poor credit and 18.5% of the denied applications were due to incomplete credit applications.

Click here to view the full report.

Published
Mar 26, 2021
Equifax Telling Lenders Of Potential Errors In Credit Scores

About 12% of customers may have been affected, according to a source.

Industry News
May 27, 2022
Lakeview Loan Servicing Faces Multiple Lawsuits Over Data Breach

At least a dozen civil lawsuits have been filed against the company, all seeking class-action status.

Industry News
May 26, 2022
Homepoint Rolls Out Jumbo ARM Loans

Homepoint's Jumbo ARM is a strategic addition to the company’s expanding jumbo portfolio.

Industry News
May 25, 2022
Planet Home Lending Expands in Oregon

New team in Portland focuses on construction lending in the Northwest.

Career
May 24, 2022
PennyMac Cutting 207 Jobs

A wide variety of positions are affected.

Industry News
May 24, 2022
Loan Officer Charged With Bank Fraud, Identity Theft

If convicted, she faces up to 30 years in federal prison on each bank fraud count and a mandatory consecutive 2 years’ imprisonment.

Industry News
May 24, 2022