World News – USA – FHA loans are growing in popularity with Millennials

Federal housing administration loans are falling and millennials are taking notice. Ellie Maes Millennial Tracker found that they are broken down by age for their credit preferences. According to the tracker, 16% of the home loans signed by Millennials borrowers in October 2020 were FHA loans that were secured at an interest rate of 2. 99% according to a press release.

« FHA loans have been particularly popular with younger millennials under 30, » noted Joe Tyrrell, president of ICE Mortgage Technology. « Almost a quarter of them chose this funding option, partly because of the more flexible qualification criteria. However, older millennials preferred conventional loan products. « 

Additionally, the report found that 93% of all closed FHA loans to millennials were for purchases in October, with purchase loans closed by millennials steady at 56% and refinances at 43% month-on-month. .

FHA Insured Loans, Mortgage Loans, Federal Housing Administration, Finance, Millennials