9.8% of mortgage loan applications were denied nationwide in 2018
Most common reasons why:
- 33% Debt-to-income
- 23% Credit history and credit score
- 17% Collateral
- 13% Incomplete applications
Houston (8.7% denial rate) and San Antonio (8.4%) were ranked seventh and 10th among the top U.S. cities where borrowers are most likely to be denied for a mortgage. Debt-to-income was the most common denial reason in both cities.
Denial rates vary by race and ethnicity.
- 17.4% Black or African American
- 14.3% Other minority
- 13.1% Hispanic white
- 10.2% Asian
- 9.8% All applicants
- 7.9% Non-Hispanic white
Source: LendingTree analysis of 10 million mortgage applications using 2018 home mortgage disclosure act data http://www.lendingtree.com/mortgage-denials-at-cycle-low/