ATLANTA, Sept. 18, 2018 /PRNewswire/ -- First
mortgage originations have continued to show a slight but steady
increase, with more than 2.77 million first mortgages originated
year-to-date through May 2018,
reflecting a total dollar amount of $689.8
billion during this period, according to data from the
latest Equifax (NYSE: EFX) National Consumer Credit Trends
Report. The latest report also found:
- Total outstanding balances on auto loans and leases have
increased 4.6 percent year-over-year to $1.27 trillion. The number of outstanding
accounts has increased 3.5 percent from a year ago to $86.9 million.
- While home equity loan originations was up by over 7 percent,
the total dollar amount is down slightly during the same time
frame.
- Outstanding consumer finance loans grew by 7.9 percent
year-to-date, now totalling $43.9
billion in total amount.
"The strong showing in the second quarter of 2018, with real GDP
growth at a 4.2 percent annual rate, has revived the auto market
and sent consumers spending," said Gunnar
Blix, Deputy Chief Economist, Equifax. "Sales of new
vehicles have been running ahead of expectations for the first
seven months of the year—currently sales are 1.6 percent higher
than last year at this time. Home sales continue to disappoint, due
to tight inventories and increased construction costs, but mortgage
refinance has been slightly stronger than expected."
Additional data from the Equifax National Consumer Credit
Trends Report includes:
Auto
- 11.9 million auto loans and leases, totaling $257.9 billion, were originated year-to-date
through May 2018, representing a
slight increase in both total accounts and balances over the prior
year.
- 20.9 percent of these auto loans and leases were issued to
consumers with a subprime credit score, the lowest subprime share
since 2011.
- Though delinquency rates have risen slightly the last few
years, they appear to have stabilized as of late, and currently
remain near historic lows at 0.92 percent in July 2018.
- Auto leases remain flat compared to this time last year, with
loans accounting for 85.9 percent of all auto accounts originated
through May, and 89.4 percent of balances.
Mortgage
- In July 2018, there were 50.1
million outstanding first mortgage loans with total balances of
$8.87 trillion, nearing the all-time
high of $9.04 trillion recorded in
2008.
- For January-May 2018, new HELOCs
have continued their decline. with 555,300 originated representing
a 4.4 percent decrease, while home equity installment loans grew,
with 311,900 originated reflecting a 7.4 percent increase from the
same period in 2017.
- Home equity loan balances and accounts outstanding have shown a
steady decline since their respective peaks at the end of 2007,
with balances down 13.7 percent year-over-year, and the number of
accounts decreasing by 7.2 percent as of July 2018.
- Outstanding HELOC balances are $416
billion in July 2018,
reflecting a decline of 5.0 percent in total balances from a year
ago, and a 38.5 percent decline from the May
2009 peak of $677
billion.
Banking
- 25.3 million bankcards, 13.5 million private label cards, 5.73
million consumer finance instalment loans, 5.13 million consumer
finance revolving accounts and 3.34 million student loans were
originated from January-May 2018, a
1.0 percent decrease, 10.3 percent decrease, 13.0 percent increase,
2.7 percent increase, and a 12.6 percent decrease from the same
period a year ago, respectively.
- Outstanding balances on bankcards have increased 5.4 percent,
0.9 percent for private label cards, 11.5 percent for consumer
finance installment loans, 5.8 percent for consumer finance
revolving accounts and 4.0 percent for student loans
year-over-year, respectively
- The total dollar amount of student loans originated YTD is
$31.8 billion, reflecting a 15.2
percent decrease from the previous year
"Credit demand has shifted towards consumer finance,
particularly the online or 'marketplace' offerings of unsecured
personal loans," said Blix. "Consumers with good credit see
opportunities to consolidate credit card debt, complete projects,
or fund other ventures. Lenders see opportunities to reach
consumers through new Fintech platforms."
Leveraging data from the Equifax U.S. Consumer Credit database
of more than 220 million consumers, the National Consumer Credit
Trends Report reveals population-level debt and lending
insights, including originations, balances, number of loans,
delinquencies and more.
Follow our product news on Twitter
at @EquifaxInsights and on LinkedIn at Equifax
Business Insights.
About Equifax
Equifax is a global information
solutions company that uses trusted unique data, innovative
analytics, technology and industry expertise to power organizations
and individuals around the world by transforming knowledge into
insights that help make more informed business and personal
decisions.
Headquartered in Atlanta, Ga., Equifax operates or has
investments in 24 countries in North America, Central
and South America, Europe and the Asia
Pacific region. It is a member of Standard & Poor's
(S&P) 500® Index, and its common stock is traded on the New
York Stock Exchange (NYSE) under the symbol EFX. Equifax employs
approximately 10,800 employees worldwide.
FOR MORE INFORMATION
1550 Peachtree Street,
NE
Atlanta, Georgia 30309
Wyatt Jefferies
Sr. Director, Public Relations
404.885.8907
wyatt.jefferies@equifax.com
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SOURCE Equifax Inc.