The MReport Webcast: Monday 11/3/2014

Purchase mortgage loan share gained 10 percentage points in the third quarter compared to last year as the last remnants of the refinance boom faded out. According to a snapshot of mortgage trends released last week by Guaranteed Rate, purchase loans accounted for 73 percent of all mortgage volumes last quarter, up from 63 percent a year prior. The increase came as refinancing numbers dropped off by more than a third annually, which Guaranteed Rate said was quote--indicative of the fact that the third quarter of 2013 was when the mortgage market began to account for higher interest rates.

Among mortgage products, the 30-year fixed-rate mortgage remained the most popular by a wide margin, comprising 75 percent of total loan volume, up a percentage point from the same period in 2013. The 15-year fixed loan lost ground, declining to an 8 percent share. Meanwhile, adjustable-rate products came in mixed, gaining popularity over the year at a 13.2 percent share but tailing off from a share of 16 percent in the second quarter.

As home equity grows, more Americans are tapping into that equity more often when refinancing their homes, according to the latest quarterly refinance analysis report from Freddie Mac. According to Freddie, home equity grew by $3 trillion between the second quarters of 2012 and 2014. Freddie attributed much of this upswing to home value gains combined with shorter-term loans and faster-than amortized principal paydowns. As a result, the company reports the share of borrowers tapping their equity by cashing out at the time of refinancing has doubled from the same quarter last year.