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Owner Perception of Home Values at Best Level in More Than Three Years

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– Quicken Loans’ National HPPI shows appraised values 0.33% lower than homeowners estimated in April

– Home values dipped 0.05% nationally in April, but posted a 6.47% year-over-year increase, according to the Quicken Loans HVI

Detroit, MI – May 8, 2018 (PRNewswire) Home appraisals are more likely be in line with, or even higher than, owners estimate. In April, appraised values were only 0.33 percent lower than what homeowners expected, according to the National Quicken Loans Home Price Perception Index (HPPI). The positive trend is apparent at the local level as well. Only five of the 27 metro areas observed in the HPPI reported appraisals lower than what owners estimated.

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While they are more in line with what owners expected, home values are continuing their ascent over last year’s level. The National Quicken Loans Home Value Index (HVI) reported a healthy 6.47 percent year-over-year increase, despite near stagnant monthly change, with a 0.05 percent dip in home values since March.

Home Price Perception Index (HPPI)

Homeowners are less likely to get a rude awakening when going through mortgage process. When viewed at a national level, the HPPI shows appraisers’ opinions of home value is an average of 0.33 percent lower than homeowners’ estimates. This is a move closer to equilibrium and the closest the national appraiser and owner opinions have been in more than three years. Homeowner opinions are also improving when viewed locally. Less than 20 percent of the areas measured have appraisal values lower than estimated. San Jose is leading the way with the average appraisal 2.75 percent higher than expected and Chicago is trailing all cities with appraisals an average of 1.68 percent lower than estimated.

“The appraisal is one of the most important, although sometimes least predictable, parts of the mortgage process,” said Bill Banfield, Quicken Loans Executive Vice President of Capital Markets. “The Home Price Perception Index is a way to illustrate the differences of opinion, and these differences affect everything from the type of mortgage a borrower can get to the expectations a seller has about the proceeds available upon sale of their home.”

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Home Value Index (HVI)

The Quicken Loans HVI, the only measurement of home value changes based solely on appraisal data, showed annual growth in the national index, increasing 6.47 percent from this time last year. Monthly changes were more tempered, with the national index dipping 0.05 percent. The national index was pulled into the negative by the Northeast, the only region showing a decrease in home value at a 1.24 percent decline. The Northeast was still the lowest when reviewing annual changes however all regions were positive – ranging from the Northeast’s 2.22 percent growth to the 9.44 percent jump in the West.

“The skyrocketing home values in the West is a trend with no end in sight. Until home building pace picks up, in combination with more existing homes being listed for sale, affordability will continue to wane,” Banfield said. “The other regions of the country are showing annual price gains as well but at a more moderate pace. Time will tell if the slightly higher interest rates in 2018 start to slow demand or if the inventory shortage ends up being a larger contributor to price changes.”

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*A positive value represents appraiser opinions that are higher than homeowner perceptions. A negative value represents appraiser opinions that are lower than homeowner perceptions.

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*A positive value represents appraiser opinions that are higher than homeowner perceptions. A negative value represents appraiser opinions that are lower than homeowner perceptions.

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*A positive value represents appraiser opinions that are higher than homeowner perceptions. A negative value represents appraiser opinions that are lower than homeowner perceptions.

About the HPPI & HVI

The Quicken Loans HPPI represents the difference between appraisers’ and homeowners’ opinions of home values. The index compares the estimate that the homeowner supplies on a refinance mortgage application to the appraisal that is performed later in the mortgage process. This is an unprecedented report that gives a never-before-seen analysis of how homeowners are viewing the housing market. The HPPI national composite is determined by analyzing appraisal and homeowner estimates throughout the entire country, including data points from both inside and outside the metro areas specifically called out in the above report.

The Quicken Loans HVI is the only view of home value trends based solely on appraisal data from home purchases and mortgage refinances. This produces a wide data set and is focused on appraisals, one of the most important pieces of information to the mortgage process.

The HPPI and HVI are released on the second Tuesday of every month. Both of the reports are created with Quicken Loans’ propriety mortgage data from the 50-state lenders’ mortgage activity across all 3,000+ counties. The indexes are examined nationally, in four geographic regions and the HPPI is reported for 27 major metropolitan areas. All indexes, along with downloadable tables and graphs can be found at QuickenLoans.com/Indexes.

About Quicken Loans

Detroit-based Quicken Loans Inc. is the nation’s largest home mortgage lender. The company closed more than $400 billion of mortgage volume across all 50 states from 2013 through 2017. Quicken Loans moved its headquarters to downtown Detroit in 2010. Today, Quicken Loans and its Family of Companies employ more than 17,000 full-time team members in Detroit’s urban core. The company generates loan production from web centers located in Detroit, Cleveland and Phoenix. Quicken Loans also operates a centralized loan processing facility in Detroit, as well as its San Diego-based One Reverse Mortgage unit. Quicken Loans ranked highest in the country for customer satisfaction for primary mortgage origination by J.D. Power for the past eight consecutive years, 2010 – 2017, and also ranked highest in the country for customer satisfaction among all mortgage servicers the past four consecutive years, 2014 – 2017.

Quicken Loans was once again named to FORTUNE magazine’s “100 Best Companies to Work For” list in 2018 and has been included in the magazine’s top 1/3rd of companies named to the list for the past 15 consecutive years. The company was also named the #1 place to work in technology in 2017 by Computerworld magazine’s “100 Best Places to Work in IT,” a recognition it has received 8 times in the past 12 years.

Quicken Loans Becomes Largest Home Lender in America

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The nation’s leading home lender will debut a new campaign touting its Rocket Mortgage technology in Super Bowl LII

Detroit, MI – Feb. 1, 2018 (PRNewswire) Detroit-based Quicken Loans today announced it has become the nation’s largest residential mortgage lender in the 4th quarter of 2017– surpassing close to 30,000 lenders (commercial banks, savings and loans, credit unions, mortgage bankers, mortgage brokers) across the country.

The company, founded in 1985, was originally launched as a brick-and-mortar branch operation, with locations primarily based in the Midwest.

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In 2000, Quicken Loans shifted its fundamental business model to an online platform. This strategy was pivotal in catapulting the lender into a 50-state, centralized, consumer-direct mortgage lender with capacity to close large volumes of mortgage loans in all 3,000 counties across America. In essence, it was the defining moment that would eventually lead to Quicken Loans becoming the leader in the FinTech lending industry.

Quicken Loans’ philosophy of an obsessive focus on team member and client satisfaction, combined with its game-changing technology, was the formula that allowed the lender to make consistent market share gains nearly each year over the past two decades. This unique model finally culminated with Quicken Loans emerging as the largest overall home lender in the United States in the 4th quarter of last year.*

“I could not be more proud of each and every one of our 17,474 team members, who each day bring incredible passion and determination to deliver our clients the best possible experience, during the single biggest financial transaction in most of their lifetimes,” said Dan Gilbert, Founder and Chairman of Quicken Loans. “Achieving the #1 market share of all mortgage lenders is an exciting accomplishment, but we are even more inspired that we reached this significant milestone, while at the same time delivering the best client experience in the nation for the last 8 consecutive years and running.”

Quicken Loans’ success can be attributed to the company’s strong culture, built on an uncompromised dedication to putting clients first. As a result, the company has earned an unprecedented 12 J.D. Power awards including an unprecedented eight consecutive years Quicken Loans was ranked #1 in client satisfaction in the country – a recognition based entirely on client feedback collected by the independent research firm.

The company’s investment of capital along with its culture of encouraging team member innovation has created a steady stream of disruptive technologies that simplify and speed up the lending process.

In early 2016, Quicken Loans launched Rocket Mortgage, via its first ever Super Bowl commercial. Rocket Mortgage is the first completely online and fully personalized mortgage experience and was built with proprietary technology created by the national home lender. Rocket Mortgage, which gives customers the power to get approved for a mortgage in as few as 8 minutes, forever changed the lending landscape.

Quicken Loans’ Rocket Mortgage will again bring its message to more than 100 million Americans during Super Bowl LII, on February 4, 2018. Now that millions of Americans have accessed Rocket Mortgage technology, Quicken Loans will coincide this year’s Super Bowl spot by releasing an even better, and deeper, version of Rocket Mortgage with numerous additional features and further enhanced visibility.

Contrary to the historic trend, the company will not release its ad prior to its airing scheduled for the second quarter of Super Bowl LII.

In addition to its mission of leading the home financing world in both market share and client satisfaction, QL has also taken on the revitalization of downtown Detroit and the city’s neighborhoods as an additional company mission as important as its business goals.

“We view Quicken Loans as a ‘for-more-than-profit’ company. Our successes have allowed us to invest in every aspect of our hometown community, including education, housing stability and mentoring budding entrepreneurs,” said Jay Farner, Quicken Loans CEO. “By reinvesting our resources into the neighborhoods where we live, work and play, we ensure everyone has the chance to unlock their fullest potential. This approach attracts the best and brightest in today’s world to work for our company. It creates an environment that allows each and every team member to feel they are contributing to both the business and the betterment of the communities where we are located. It’s an equation that works for the advancement of both of our primary missions.”

Since 2010, Quicken Loans team members have volunteered 375,000 hours with community organizations, and the company has directly contributed nearly $130 million to numerous charities and community groups in its hometown of Detroit. Quicken Loans’ persistent, powerful voice for the future of Detroit is matched only by its actions and initiatives to continue transforming the city – from company-funded blight removal and tax foreclosure mitigation, to creating productive business and civic partnerships to funding experiential learning programs for public school students and more.

“I want to extend a heartfelt ‘thank you’ to everyone who helped us achieve this incredible milestone. While this is exciting, it is nothing more than a landmark which will motivate us to continue innovating and executing, urgently. We still have so much to achieve, both with our business and our hometowns of Detroit, Cleveland and everywhere our team members call home,” Farner added.

*4th quarter 2017 lender volumes and market share were acquired from information gathered from public company disclosures, industry publications, and other highly-credible sources known to Rock Holdings, Inc., the parent company of Quicken Loans. Calculations of closed loan volume and market share do not include closed loans purchased from other lenders who originated, handled all consumer communication and interaction, processed, closed and funded the loan. The originating lender would include that loan in its market share. Including that same loan and double counting it by also including it in the company’s market share who is purchasing the loan would be misleading and inaccurate.

About Quicken Loans

Detroit-based Quicken Loans Inc. is the nation’s largest home mortgage lender. The company closed more than $400 billion of mortgage volume across all 50 states from 2013 through 2017. Quicken Loans moved its headquarters to downtown Detroit in 2010, and now more than 17,000 team members from Quicken Loans and its Family of Companies work in the city’s urban core. The company generates loan production from web centers located in Detroit, Cleveland and Scottsdale, Arizona. The company also operates a centralized loan processing facility in Detroit, as well as its San Diego-based One Reverse Mortgage unit. Quicken Loans ranked “Highest in Customer Satisfaction for Primary Mortgage Origination” in the United States by J.D. Power for the past eight consecutive years, 2010 – 2017, and highest in customer satisfaction among all mortgage servicers the past four years, 2014 – 2017.

Quicken Loans was ranked No. 10 on FORTUNE magazine’s annual “100 Best Companies to Work For” list in 2017, and has been among the top 30 companies for the past 14 consecutive years. The company has been recognized as one of Computerworld magazine’s “100 Best Places to Work in IT” the past 13 years, ranking No. 1 for eight of the past 12 years, including 2017. The company is a wholly-owned subsidiary of Rock Holdings, Inc., the parent company of several FinTech and related businesses. Quicken Loans is also the flagship business of Dan Gilbert’s Family of Companies comprising nearly 100 affiliated businesses spanning multiple industries. For more information and company news visit QuickenLoans.com/press-room.