As the share of conventional business has grown at the expense of government-insured business over the past year, lending risk tightened and refinance share fell to a new low.

Two-thirds of all single-family loans closed during May were conventional mortgages. Conventional share has widened from 63 percent in the same month a year ago.

Loans insured by the Federal Housing Administration accounted for a fifth of all loans. FHA share was more narrow than 23 percent in May 2017.

Source: Mortgage Daily