Refinances Rebound But Turnaround Times Static in July

A monthly gain in refinance activity coupled with a decrease in rates last month, according to data from Ellie Mae. However, loan turnaround times as a whole remained static.

Ellie Mae said in its Origination Insight Report that refinances grew to 37% of all closed loans in July, up from 34% the month before. Purchases dipped from their 65% high in June to 62% of all closed loans.

On average, the time to close all loans held steady at 46 days in July. For refinances, the time increased from 47 days in June to 48 in July. It also rose from 47 to 49 days for FHA refinances and from 46 to 47 days for FHA purchases. The time to close for purchase loans overall stayed put at 46 days.

Meanwhile, credit scores for closed loans reached their highest level since June 2015, as the average FICO score rose to 727. Closing rates for all loans also increased to 71.6% from 69.6% a month earlier, with upticks happening for both purchases and refinances.

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Originations Underwriting Refinance Purchase
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