LendingTree, Inc.
Apr 2, 2018

LendingTree Ranks Cities with the Highest Share of Cash-Out Refinance Borrowers

New LendingTree study analyzes where the most borrowers are tapping into their home equity when refinancing

CHARLOTTE, N.C., April 2, 2018 /PRNewswire/ -- LendingTree®, the nation's leading online loan marketplace, today released the findings of its study on where cash-out refinancing was most prevalent in the past year.

LendingTree Logo. (PRNewsFoto/LendingTree)

Mortgage rates have increased over the past six months, which has led to a decline in mortgage refinance applications. At the same time, home prices continue to increase at a robust pace. In such an environment, borrowers who have had meaningful appreciation in their homes can still access the equity in their homes via a cash-out refinance, in which the new mortgage balance is higher than the outstanding balance prior to refinancing. This change in the mix of refinances — where more borrowers are interested in extracting home equity versus refinancing into a lower interest rate loan — leads to an increase in the share of cash-out loans as a proportion of total refinances.

LendingTree data has shown this trend toward more cash-out refinancing. Cash-out refinance loans have risen to 62 percent of all refinances in Q1 2018, up from 54 percent in Q1 2017. However, not all areas of the country have the same propensity to access cash through refinancing their mortgages, and the study uses LendingTree data to assess where it was most prevalent over the past year.

LendingTree analyzed mortgage requests and offers for refinance borrowers between March 1, 2017 and March 1, 2018, based on the location of the property to be mortgaged. The city rankings are generated from the percentage of total funded refinance mortgages which included a cash-out portion of the loan.

Cities with the highest share of cash-out borrowers

#1 Albany, N.Y.

  • Share of funded refinance mortgages with cash-out portion: 73%
  • Average loan amount: $166,504

#2 Portland, Ore.

  • Share of funded refinance mortgages with cash-out portion: 72%
  • Average loan amount: $266,152

#3 Cape Coral, Fla.

  • Share of funded refinance mortgages with cash-out portion: 72%
  • Average loan amount: $162,975

Cities with the highest cash-out loan amounts

#1 Bridgeport, Conn.

  • Share of funded refinance mortgages with cash-out portion: 52%
  • Average loan amount: $453,307

#2 San Jose, Calif.

  • Share of funded refinance mortgages with cash-out portion: 56%
  • Average loan amount: $451,777

#3 San Francisco, Calif.

  • Share of funded refinance mortgages with cash-out portion: 58%
  • Average loan amount: $442,099

 

Most Popular Cities by Share of Cash-Out Borrowers

Rank

City

% Cash-Out

Loan Amount

1

Albany, N.Y.

73%

166,504

2

Portland, Ore.

72%

266,152

3

Cape Coral, Fla.

72%

162,975

4

Boise City, Idaho

72%

209,033

5

Scranton, Pa.

71%

142,666

6

Denver

71%

280,373

7

Greenville, S.C.

71%

179,724

8

Colorado Springs, Colo.

69%

250,891

9

Tulsa, Okla.

69%

184,795

10

Des Moines, Iowa

69%

166,776

10

Grand Rapids, Mich.

69%

170,414

10

Ogden, Utah

69%

224,974

13

Provo, Utah

68%

236,751

14

Pittsburgh

68%

159,815

15

Sarasota, Fla.

68%

199,917

16

Nashville, Tenn.

68%

207,454

17

Augusta, Ga.

66%

155,778

18

Louisville/Jefferson County, Ky.

66%

173,102

19

Salt Lake City

66%

256,267

20

Lakeland, Fla.

66%

163,339

21

Seattle

66%

300,036

22

Tampa, Fla.

66%

189,385

23

Baton Rouge, La.

65%

178,660

24

Kansas City, Mo.

65%

185,666

25

Omaha, Neb.

65%

194,561

26

Charlotte, N.C.

65%

202,777

27

Dallas

65%

195,783

28

Birmingham, Ala.

65%

180,706

29

Chattanooga, Tenn.

65%

167,661

30

Austin, Texas

65%

208,937

31

Spokane, Wash.

65%

200,212

32

Riverside, Calif.

64%

265,315

33

Palm Bay, Fla.

64%

187,637

34

Jacksonville, Fla.

64%

210,111

35

Oklahoma City

63%

172,483

36

Memphis, Tenn.

63%

165,532

37

Knoxville, Tenn.

63%

174,091

38

Sacramento, Calif.

63%

276,262

39

San Diego

63%

373,039

40

Wichita, Kan.

63%

148,242

41

Deltona, Fla.

63%

162,557

42

Minneapolis

63%

218,098

43

Fresno, Calif.

63%

219,185

44

New Orleans

62%

207,025

45

Columbia, S.C.

62%

182,261

46

Charleston, S.C.

62%

209,641

47

Richmond, Va.

62%

202,997

48

Boston

62%

295,981

49

Miami

62%

230,379

50

Columbus, Ohio

61%

172,103

51

Los Angeles

61%

364,453

52

Stockton, Calif.

61%

256,005

53

Oxnard, Calif.

61%

357,376

54

Honolulu

61%

415,224

55

San Antonio

60%

179,059

56

Phoenix

60%

211,780

57

Houston

60%

192,272

58

Bakersfield, Calif.

60%

200,741

59

Buffalo, N.Y.

59%

136,014

60

Orlando, Fla.

59%

197,814

61

Indianapolis

59%

157,750

62

Detroit

59%

179,035

63

Las Vegas

59%

227,364

64

St. Louis

58%

179,868

65

New York

58%

298,928

66

Cleveland, Ohio

58%

155,220

67

Atlanta

58%

201,715

68

Dayton, Ohio

58%

153,870

69

Allentown, Pa.

58%

201,845

70

Cincinnati

58%

174,996

71

San Francisco

58%

442,099

72

Hartford, Conn.

58%

237,899

73

Syracuse, N.Y.

57%

126,674

74

Greensboro, N.C.

57%

162,054

75

New Haven, Conn.

56%

206,543

76

Chicago

56%

202,890

77

Little Rock, Ark.

56%

156,240

78

Tucson, Ariz.

56%

194,117

79

Harrisburg, Pa.

56%

177,939

80

San Jose, Calif.

56%

451,777

81

Virginia Beach, Va.

55%

233,278

82

Durham, N.C.

55%

202,982

83

Philadelphia

55%

214,542

84

Milwaukee

55%

205,253

85

Toledo, Ohio

54%

146,349

86

Albuquerque, N.M.

54%

189,533

87

Rochester, N.Y.

54%

142,580

88

Akron, Ohio

53%

165,577

89

Raleigh, N.C.

53%

218,675

90

Youngstown, Ohio

53%

142,020

91

McAllen, Texas

53%

130,076

92

Worcester, Mass.

53%

228,144

93

Bridgeport, Conn.

52%

453,307

94

Washington

52%

319,142

95

El Paso, Texas

51%

149,588

96

Winston, N.C.

51%

171,232

97

Providence, R.I.

51%

239,872

98

Madison, Wis.

50%

203,529

99

Baltimore

49%

260,665

100

Springfield, Mass.

48%

213,775

 

 

Most Popular Cities by Average Cash-Out Loan Amount

Rank

City

% Cash-Out

Loan Amount

1

Bridgeport, Conn.

52%

453,307

2

San Jose, Calif.

56%

451,777

3

San Francisco

58%

442,099

4

Honolulu

61%

415,224

5

San Diego

63%

373,039

6

Los Angeles

61%

364,453

7

Oxnard, Calif.

61%

357,376

8

Washington

52%

319,142

9

Seattle

66%

300,036

10

New York

58%

298,928

10

Boston

62%

295,981

10

Denver

71%

280,373

13

Sacramento, Calif.

63%

276,262

14

Portland, Ore.

72%

266,152

15

Riverside, Calif.

64%

265,315

16

Baltimore

49%

260,665

17

Salt Lake City

66%

256,267

18

Stockton, Calif.

61%

256,005

19

Colorado Springs, Colo.

69%

250,891

20

Providence, R.I.

51%

239,872

21

Hartford, Conn.

58%

237,899

22

Provo, Utah

68%

236,751

23

Virginia Beach, Va.

55%

233,278

24

Miami

62%

230,379

25

Worcester, Mass.

53%

228,144

26

Las Vegas

59%

227,364

27

Ogden, Utah

69%

224,974

28

Fresno, Calif.

63%

219,185

29

Raleigh, N.C.

53%

218,675

30

Minneapolis

63%

218,098

31

Philadelphia

55%

214,542

32

Springfield, Mass.

48%

213,775

33

Phoenix

60%

211,780

34

Jacksonville, Fla.

64%

210,111

35

Charleston, S.C.

62%

209,641

36

Boise City, Idaho

72%

209,033

37

Austin, Texas

65%

208,937

38

Nashville, Tenn.

68%

207,454

39

New Orleans

62%

207,025

40

New Haven, Conn.

56%

206,543

41

Milwaukee

55%

205,253

42

Madison, Wis.

50%

203,529

43

Richmond, Va.

62%

202,997

44

Durham, N.C.

55%

202,982

45

Chicago

56%

202,890

46

Charlotte, N.C.

65%

202,777

47

Allentown, Pa.

58%

201,845

48

Atlanta

58%

201,715

49

Bakersfield, Calif.

60%

200,741

50

Spokane, Wash.

65%

200,212

51

Sarasota, Fla.

68%

199,917

52

Orlando, Fla.

59%

197,814

53

Dallas

65%

195,783

54

Omaha, Neb.

65%

194,561

55

Tucson, Ariz.

56%

194,117

56

Houston

60%

192,272

57

Albuquerque, N.M.

54%

189,533

58

Tampa, Fla.

66%

189,385

59

Palm Bay, Fla.

64%

187,637

60

Kansas City, Mo.

65%

185,666

61

Tulsa, Okla.

69%

184,795

62

Columbia, S.C.

62%

182,261

63

Birmingham, Ala.

65%

180,706

64

St. Louis

58%

179,868

65

Greenville, S.C.

71%

179,724

66

San Antonio

60%

179,059

67

Detroit

59%

179,035

68

Baton Rouge, La.

65%

178,660

69

Harrisburg, Pa.

56%

177,939

70

Cincinnati

58%

174,996

71

Knoxville, Tenn.

63%

174,091

72

Louisville/Jefferson County, Ky.

66%

173,102

73

Oklahoma City

63%

172,483

74

Columbus, Ohio

61%

172,103

75

Winston, N.C.

51%

171,232

76

Grand Rapids, Mich.

69%

170,414

77

Chattanooga, Tenn.

65%

167,661

78

Des Moines, Iowa

69%

166,776

79

Albany, N.Y.

73%

166,504

80

Akron, Ohio

53%

165,577

81

Memphis, Tenn.

63%

165,532

82

Lakeland, Fla.

66%

163,339

83

Cape Coral, Fla.

72%

162,975

84

Deltona, Fla.

63%

162,557

85

Greensboro, N.C.

57%

162,054

86

Pittsburgh

68%

159,815

87

Indianapolis

59%

157,750

88

Little Rock, Ark.

56%

156,240

89

Augusta, Ga.

66%

155,778

90

Cleveland, Ohio

58%

155,220

91

Dayton, Ohio

58%

153,870

92

El Paso, Texas

51%

149,588

93

Wichita, Kan.

63%

148,242

94

Toledo, Ohio

54%

146,349

95

Scranton, Pa.

71%

142,666

96

Rochester, N.Y.

54%

142,580

97

Youngstown, Ohio

53%

142,020

98

Buffalo, N.Y.

59%

136,014

99

McAllen, Texas

53%

130,076

100

Syracuse, N.Y.

57%

126,674

 

"There are three primary ways to access the equity built up in the home: cash-out refinance, a home equity loan or a home equity line of credit (HELOC)," said Tendayi Kapfidze, Chief Economist at LendingTree. "Borrowers can use the cash extracted to perform home renovations, consolidate debt, purchase appliances or cars, go on vacation, start a business or even as a down payment on a second home. Each loan option is unique, and the total cost of borrowing depends on loan amount, available equity, loan balances, closing costs and available interest rates. Borrowers should evaluate these three loan types and shop around for the best option given their circumstances."

For more information on the study, visit https://www.lendingtree.com/home/refinance/cash-out/cities-with-the-highest-share-of-cash-out-refi/.

About LendingTree
LendingTree (NASDAQ: TREE) is the nation's leading online loan marketplace, empowering consumers as they comparison-shop across a full suite of loan and credit-based offerings. LendingTree provides an online marketplace which connects consumers with multiple lenders that compete for their business, as well as an array of online tools and information to help consumers find the best loan. Since inception, LendingTree has facilitated more than 65 million loan requests. LendingTree provides free monthly credit scores through My LendingTree and access to its network of over 500 lenders offering home loans, personal loans, credit cards, student loans, business loans, home equity loans/lines of credit, auto loans and more. LendingTree, LLC is a subsidiary of LendingTree, Inc. For more information go to www.lendingtree.com, dial 800-555-TREE, like our Facebook page and/or follow us on Twitter @LendingTree.

MEDIA CONTACT:
Megan Greuling
704-943-8208
Megan.greuling@lendingtree.com

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SOURCE LendingTree

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