By Jann Swanson | Mortgage News Daily
A strong fourth quarter helped push mortgage originations for the whole of 2016 to the highest level in four years. Black Knight’s Mortgage Monitor reports that total first lien originations rose 17 percent over originations in 2015 to $2.1 trillion. Refinancing volume was up 22 percent over the 12-month period and purchase mortgage originations increased by 13 percent.
It was the second straight year in which the percentage of purchase originations rose by double digits. The total of $1.1 trillion in purchase mortgages was the highest since 2006, but fell 28 percent short of the peak in such mortgages, which was reached by originations in 2005.
Refinancing totaled more than $1 trillion as well, and was the highest annual volume since 2013. In the fourth quarter alone the refinancing totaled $300 billion, a 58 percent increase over refinances in the fourth quarter of 2015. Just under half of all originations during 2016 were refinances.
