Millennials Took Advantage of Lower Rate to Refinance, Latest Ellie Mae Millennial Tracker Finds

PLEASANTON, Calif.–(BUSINESS WIRE)–Millennial homebuyers took advantage of slightly lower interest rates in
January to refinance their mortgages. Refinances by Millennial borrowers
accounted for 13 percent of all closed loans, the highest percentage
since February 2018, according to the latest Ellie
Mae Millennial Tracker™
. Similarly, the January Ellie Mae Origination
Insight Report
, which explores trends among borrowers of all ages,
showed that refinances climbed to 35 percent of closed loans in January,
up from 29 percent in December of 2018.

Refinances also made up a larger share of each type of loan in January.
Refinances for Conventional loans for Millennial borrowers rose to 14
percent, up from 11 percent in December, while FHA refinances rose from
6 to 7 percent in January. During that same time period, VA refinances
rose to 35 percent, up from 27 percent the month prior.

“With average interest rates slightly falling in January, Millennials
took advantage of refinance opportunities,” said Joe Tyrrell, executive
vice president of strategy and technology at Ellie Mae. “While we
continue to see Millennials enter the housing market and exercise their
purchase power, the uptick in refinances may indicate maturity among
this generation who previously purchased a home and are looking for an
opportunity to take advantage of lower monthly interest payments.”

In January 2019, the average Millennial primary borrower refinancing
their home was 33 years old, with a FICO score of 728. Two-thirds of
those who refinanced were married (66 percent) while one-third were
single (33 percent), and one percent were unspecified. Additionally, the
majority of primary borrowers who refinanced were male (63 percent).

Other key findings from the January 2019 Ellie Mae Millennial Tracker

  • The share of Conventional loans increased to 69 percent of all closed
    loans, slightly up from 68 percent the month prior, while FHA loans
    held steady at 27 percent from December.
  • The average FICO score of Millennial borrowers who closed on loans in
    January increased slightly to 722, up from 721 in December.
  • The top five markets for Millennial borrowers in January were
    Warrensburg, Mo., Somerset, Pa., Ottumwa, Iowa, Minot, N.D., and
    Williston, N.D.

(NYSE: ELLI) is the leading cloud-based platform
provider for the mortgage finance industry.

The Ellie Mae Millennial Tracker is an interactive online tool that
provides access to up-to-date demographic data about this new generation
of homebuyers. It mines data from a robust sampling of approximately 80
percent of all closed mortgages dating back to 2014 that were initiated
on Ellie Mae’s Encompass® all-in-one mortgage management
solution. Given the size of this sample and Ellie Mae’s market share, it
is a strong proxy of Millennial mortgage indicators across the country.
Searches can be tailored by borrower geography, age, gender, marital
status, FICO score and amortization type.

For more information, visit


The Ellie Mae Millennial Tracker focuses on Millennial mortgage
applications during specific time periods. Ellie Mae defines Millennials
as applicants born between the years 1980 and 1999. New data is updated
on the first Monday of every month for two months prior. The Millennial
Tracker is a subset of our Origination Insight Report, which details
aggregated, anonymized data pulled from Ellie Mae’s Encompass
origination platform. Additional information regarding the Origination
Insight Report can be found at
News organizations have the right to reuse this data, provided that
Ellie Mae, Inc. is credited as the source.


Ellie Mae (NYSE:ELLI) is the leading cloud-based platform provider for
the mortgage finance industry. Ellie Mae’s technology solutions enable
lenders to originate more loans, reduce origination costs, and shorten
the time to close, all while ensuring the highest levels of compliance,
quality and efficiency. Visit
or call 877.355.4362 to learn more.

© 2019 Ellie Mae, Inc. Ellie
, Encompass®,
the Ellie Mae logo and other trademarks or service marks of Ellie Mae,
Inc. appearing herein are the property of Ellie Mae, Inc. or its
subsidiaries. All rights reserved. Other company and product names may
be trademarks or copyrights of their respective owners.


Erica Harvill
Ellie Mae, Inc.
(925) 227-5913

Caitlin Coffee
(312) 635-8204

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