Even with increasing interest rates, closed home purchases ticked up 6 percent in March, according to Ellie Mae®’s latest Origination Insight Report. Closed refinances slumped 5 percent.
Across the board, closings took 41 days in March, one day less than in February; however, purchases took 43 days, two days less than in February. Closing rates were:
The average FICO in March was 722, while the debt-to-income (DTI) ratio decreased to 26/39 and the loan-to-value (LTV) ratio increased to 79.
“With interest rates rising to the highest levels since January 2014, we’re seeing the purchase market continue to gain momentum,” says Jonathan Corr, president and CEO of Ellie Mae. “As we’ve seen in the past several months, the shift to a purchase market, coupled with the adoption of digital mortgage solutions by our customers, aids in driving down the time to close.”