ICE Mortgage Technology

You love to see this as we celebrate the 4th of July. More heroes are reducing their monthly expenses through available refinance programs. Data from the latest ICE Mortgage Monitor report shows that VA loans have accounted for more than 30% of rate/term related rate locks in recent weeks. That’s up from less than 10% at this same time last year. The average veteran who refinanced a VA loan in April saw a 1.02 percentage point reduction in rate and lowered their monthly P&I payments by an average of $231, with the ICE U.S. VA 30-Year fixed rate mortgage index now down nearly a full percentage point from its peak last October. Keep in mind, the data shows loan balances and loan-to-value ratios climbing through such transaction suggesting that borrowers are buying down their rate and financing closing costs to reduce monthly expenses — trading equity for a better monthly cashflow. Thank you to all who have served and who continue to serve. Happy Fourth!

“As of May, 24% of homeowners with mortgages now have a current interest rate of 5% or higher,” said Andy Walden, VP of Enterprise Research Strategy at ICE. “As recently as two years ago an astonishing nine of every 10 mortgage holders were below that threshold." Read the latest ICE Mortgage Monitor to see the dynamics at play as the market gradually shifts toward higher average rates: https://lnkd.in/eNJaGWRW

Join us in congratulating Cecilia Choy for being named a HousingWire 2024 Women of Influence! ✨ Cecilia’s leadership has been instrumental in helping ICE Mortgage Technology be recognized throughout the industry for: • Digitizing the real estate and housing finance lifecycle • Improving the homebuying experience • Making the American dream of homeownership a reality Read more about the impact of her work here: https://lnkd.in/g_Rjf9Nm   Well done, Cecilia and congratulations to all the award winners!

📢 Servicers: Are you ready when borrowers choose "build" over "buy"? Housing markets have been incredibly competitive the last several years. Rates have been high, and inventory has been low. That’s why some would-be homeowners are opting to not compete at all – and are building their homes instead. Check out our new blog that explores the three benefits for servicers who are prepared to service construction loans: https://lnkd.in/gfx_ppAZ

Rising insurance costs associated with climate change and climate events is becoming a reality in the mortgage industry. Hear David Varano shed light on how investors can navigate and quantify climate-driven risks using ICE DeltaTerra Climate Credit Analytics. ⬇️

It may come as no surprise that borrowers say cost reigns supreme when choosing a lender in today’s market. 68% of respondents in ICE’s 2024 Borrower Insights Survey said finding the lowest interest rate was a primary factor in choosing their mortgage lender, with 47% focused on low lender fees. However, despite borrowers ranking lending costs as most important, 36% of borrowers only considered one option before selecting their lender — 48% considered two. Andy Walden and Gunnar Blix will bump those survey findings, and others, up against ICE’s vast array of mortgage and housing market data in this month's Mortgage Monitor webinar on Thursday, June 27. They'll also explore how previous borrower relationships can give servicers and lenders a leg up in generating refinance originations and retaining their existing servicing portfolio in today’s market. RSVP for the webinar here: https://lnkd.in/eHyGWb9s

Easing mortgage rates in recent weeks along with a growing number of recently originated high-interest rate mortgages have nudged the number of high-quality refinance candidates to its highest level since September 2022, according to ICE's McDash dataset.   Gunnar Blix and I will talk about the modest return in refinance demand, where market share is growing, and how lenders/servicers are doing in retaining refinancing borrowers in our upcoming ICE Mortgage Technology Mortgage Monitor call this Thursday. Register for the webinar here: https://lnkd.in/g9ykm_ye

Interested in attending an Encompass Regional User Group meeting? They’re a great opportunity for you to network, exchange best practices and gain new insights into the future of the platform. Sign up here to stay in the know: https://lnkd.in/g2aFuA8h

The good news keeps coming as I read through the latest ICE mortgage data. In April, we saw mortgage delinquency rates drop to their second-lowest level in decades, with very few delinquent loans actually rolling into foreclosure (I get into that in the video below). Today, our First Look at the May data is out. And it shows a fifth consecutive monthly improvement in serious delinquencies, as well as a continued drop in the number of foreclosure starts. Read the full report here: https://lnkd.in/g2WdpqjV

Poll closed! ✅ The ICE 2024 Borrower Insights Survey found that 70% of respondents were contacted within 12 hours after submitting their online application.