Refinance activity in November was even compared with the prior month, though the data suggested that the market is prepping for higher rates to cut into this segment, according to Ellie Mae.
Refinances represented 47% of all closed loans, same as in October, Ellie Mae said Tuesday in its November Origination Insight Report. Similarly, Federal Housing Administration, conventional and VA loans held steady at their levels with October, making 20%, 68% and 9% of all loans respectively.
The closing rates for all loans dipped to 72.2% from 73% in October. Comparatively, the closing rate for refinances rose to 68.7% from 68%, while the closing rate for purchase loans fell to 76.1% from 77.2%.
The average time to close all loans rose a day to 49 days, while the average FICO score dropped to 728.
The 30-year note rate did increase, albeit slightly, to 3.810%.
“As expected, homebuyers are trying to complete refinances as rates begin to rise,” Ellie Mae president and CEO Jonathan Corr said in a news release. “We believe that the strong refi market caused the increase in time to close in November, a data point that we’ll watch as the purchase market picks up in early 2017.”