According to Equifax’s recent National Consumer Credit Trends Report, mortgage originations boomed in the first quarter of 2015. Compared to first quarter 2014, total mortgage origination balances increased by 74.4%. Leading the increases in mortgage origination activity were first mortgages which were 79.9% greater than the same time last year. Home equity lines of credit (HELOCs) and new home equity installment loans also saw increases, rising 30% and 13.6% respectively.
Equifax’s Chief Economist, Amy Crews Cutts, attributed the strong gains in mortgage originations in the first quarter to low interest rates and a surge in refinance activity. Crews Cutts stated, “While rates have recently reversed that trend and are back up to about 4%, they remain extremely low historically. These rates, coupled with a housing market that is showing signs of vigor, should carry the mortgage business over the summer.” Read the full report at http://bit.ly/1eYwOFO.