More Millennials are starting to move towards conventional loans, and away from FHA-backed loans, bringing the average FICO score for Millennial borrowers up slightly, according to Ellie Mae, a provider of software solutions and services for the residential mortgage industry.
The percentage of conventional loans among Millennials increased slightly from 61% in June to 62% in July, according to the latest report from the Ellie Mae Millennial Tracker. As part of this shift, FHA loans decreased to 35% of total loans in July, down from 37% the month before.
The Millennial Tracker is an interactive online tool that provides access to up-to-date demographic data about this new generation of homebuyers.
The average FICO score also continues to improve, up one point in July to 725, driven by the shift to...