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Infographic Comparing Mortgage Metrics From June Of 2012 To June Of 2013 (Graphic: Business Wire)

Ellie Mae ® (NYSE: ELLI), a leading provider of enterprise-level, on-demand automated solutions for the residential mortgage industry, today released its Origination Insight Report for June 2013 and infographic comparing mortgage metrics from June of 2012 to June of 2013. The report draws its data and insights from a robust sampling of the significant volume of loan applications—more than 20% of all originations in the United States—that flow through Ellie Mae’s Encompass360 ® mortgage management software and the Ellie Mae Network™.

MONTHLY ORIGINATION OVERVIEW FOR JUNE 2013

    June 2013*   May 2013*   6 Months Ago

(December 2012)*

  1 Year Ago

(June 2012)*

Closed Loans
Purpose
Refinance   51 %   58 %   69 %   54 %
Purchase   49 %   42 %   31 %   46 %
Type
FHA   19 %   19 %   19 %   23 %
Conventional   71 %   72 %   73 %   67 %
Days to Close
All   47     44     55     47  
Refinance   47     44     57     47  
Purchase   46     45     51     46  
ARMs vs. Fixed, Length, Rate
ARM %   4 .0%   3 .1%   2 .1%   3 .3%
15 Year %   16 .5%   16 .4%   15 .9%   15 .8%
30 Year – Note Rate   3 .918   3 .747   3 .609   3 .992

*All references to months should be read as month ended.

 

PROFILES OF CLOSED AND DENIED LOANS FOR JUNE 2013

   

Closed First-Lien Loans

(All Types)

 

Denied Loans

(All Types)

FICO Score (FICO)   742   701
Loan-to-Value (LTV)   80   84
Debt-to-Income (DTI)   23/35   28/44

More information and analysis of closed and denied loans by loan purpose and investor are available in the full report at http://www.elliemae.com/about-us/news-reports/ellie-mae-reports/ .

To get a meaningful view of lender “pull-through,” Ellie Mae reviewed a sampling of loan applications initiated 90 days prior (i.e., the March 2013 applications) to calculate an overall closing rate of 54.3% in June 2013, up from 53.5% in May 2013 (see full report).

“In June, the mix of refinance-to-purchase loans continued to rebalance as higher rates made refinancing less attractive and the prospect of higher home prices and potentially higher interest rates may have brought more buyers to the closing table,” said Jonathan Corr, president and chief operating officer of Ellie Mae. “Closed purchase loans accounted for 49% of the volume in June 2013, the highest level since we began tracking in August 2011.

“The average interest rate on a 30-year loan rose to 3.918% in June 2013, the highest point since June 2012 when it was 3.992%,” Corr noted. “The transition from a refinance to a purchase market may also be why we saw a growth in adjustable rate mortgages in June 2013, hitting 4% for the first time since May 2012. This may be a sign that some buyers are trying to stretch their budget as both home prices and interest rates tick up.

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