Millennial Credit Scores Are All Over the Map, May Ellie Mae Millennial Tracker Finds

The average Millennial borrower credit score on closed loans varied
greatly from city-to-city in May, according to the latest Ellie
Mae Millennial Tracker™. Average credit scores for borrowers in the
top housing markets for this generation (based on percentage of
Millennial loans closed) significantly differed across the country, with
averages ranging from 662 in Madisonville, Ky. to 757 in San Francisco,
Ca. The Millennial city-specific FICOs are not representative of a
state’s entire population.

“You would expect to see higher average FICO scores in the largest
coastal metropolitan cities where loan amounts are higher, which we do
see in areas such as San Francisco (757), Los Angeles (745), Boston
(701) and Miami (722); however, there are some surprisingly high numbers
in more rural areas, such as Mitchell, S.D. where the average FICO for
Millennials was 735 in May, higher than Boston or Miami,” said Joe
Tyrrell, executive vice president of corporate strategy for Ellie Mae.
“Our Borrower
Insights Survey recently found that many Millennials have a strong
misperception about needing a perfect credit score to qualify for a home
loan,” added Tyrrell.

Overall, the average FICO score for all closed loans to Millennials in
May held steady for the third month in a row at 721, the lowest average
for Millennial borrowers since April 2017. Comparatively, Ellie Mae’s
latest Origination
Insight Report showed that the average FICO score for borrowers of
all ages who closed loans in May was 724, one point up from 723 in April.

Highlighted Averages on All Closed Loans by Millennials in Top
DMAs: May 2018

Additional key findings from the May 2018 Ellie Mae Millennial Tracker
include:

Ellie Mae® (NYSE: ELLI) is the leading cloud-based platform provider for
the mortgage finance industry.

The Ellie Mae Millennial Tracker is an interactive online tool that
provides access to up-to-date demographic data about this new generation
of homebuyers. It mines data from a robust sampling of approximately 80
percent of all closed mortgages dating back to 2014 that were initiated
on Ellie Mae’s Encompass® all-in-one mortgage management solution. Given
the size of this sample and Ellie Mae’s market share, it is a strong
proxy of Millennial mortgage indicators across the country. Searches can
be tailored by borrower geography, age, gender, marital status, FICO
score and amortization type.

For more information, visit http://elliemae.com/millennial-tracker.

ABOUT THE ELLIE MAE MILLENNIAL TRACKER

The Ellie Mae Millennial Tracker focuses on Millennial mortgage
applications during specific time periods. Ellie Mae defines Millennials
as applicants born between the years 1980 and 1999. New data is updated
on the first Monday of every month for two months prior.

The Millennial Tracker is a subset of our Origination Insight Report,
which details aggregated, anonymized data pulled from Ellie Mae’s
Encompass origination platform. Additional information regarding the
Origination Insight Report can be found at http://elliemae.com/resources/origination-insight-reports.
News organizations have the right to reuse this data, provided that
Ellie Mae, Inc. is credited as the source.

ABOUT ELLIE MAE

Ellie Mae (NYSE:ELLI) is the leading cloud-based platform provider for
the mortgage finance industry. Ellie Mae’s technology solutions enable
lenders to originate more loans, reduce origination costs, and reduce
the time to close, all while ensuring the highest levels of compliance,
quality and efficiency. Visit EllieMae.com
or call (877) 355-4362 to learn more.

© 2018 Ellie Mae, Inc. Ellie Mae®, Encompass®, AllRegs®, Mavent®,
Velocify®, the Ellie Mae logo and other trademarks or service marks of
Ellie Mae, Inc. appearing herein are the property of Ellie Mae, Inc. or
its subsidiaries. All rights reserved. Other company and product names
may be trademarks or copyrights of their respective owners.

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