Refis Tick Up Loan Demand in Latest Week

A drop in mortgage rates renew home owners’ interest in refinancing their mortgage.

The rise in refinancing applications helped to give overall loan demand a boost for the week ending Aug. 15, the Mortgage Bankers Association reports in its weekly mortgage market survey, which reflects 75 percent of the residential mortgage market.

Mortgage application activity, including both loans for refinancings and home purchases, increased 1.4 percent during the week.

Broken out, refinancing applications increased 2.7 percent, while loans for home purchases, viewed as a leading indicator of future home sales, fell 0.4 percent.

The 30-year fixed-rate mortgage averaged 4.29 percent during the week, down 6 basis points from the prior week, the MBA reports.

Source: “U.S. Mortgage Applications Rise in Latest Week: MBA,” Reuters (Aug. 20, 2014)

Rising Rates Soften Loan Demand in Latest Week

Interest rates rose last week, prompting a sharp fall in applications for home mortgages, the Mortgage Bankers Association reported Wednesday.

Loan applications dropped 9.2 percent in the week ending June 13, according to the MBA’s index of mortgage application activity. The MBA’s survey, which reflects 75 percent of the residential mortgage market, measures application demand for both refinancing and home purchases.

Broken out, applications for refinancing fell 12.7 percent last week. Applications for home purchases, viewed as a major indicator of future home purchases, dropped 4.7 percent, the MBA reports.

Mortgage rates were on the rise last week, with the 30-year fixed-rate mortgage rising 2 basis points to 4.36 percent.

The decrease in applications this week comes after a report last week that showed mortgage applications for home purchases had reached a five-month high.

Source: “U.S. Mortgage Applications Drop in Latest Week: MBA,” Reuters (June 18, 2014)

“Home Loan Demand Surges” last week!

Loan requests for home purchases — viewed as a leading indicator of future home sales — surged 6.7 percent last week, the Mortgage Bankers Association reports. Applications for refinancing also rose, jumping 8 percent.

MBA’s index of mortgage application demand had declines six of the past nine weeks as mortgage rates have inched higher. Last week, mortgage rates dropped for the first time in three weeks, helping to lift loan demand, the MBA reports.

MBA’s overall index of mortgage application activity, which reflects applications for home purchases and refinancing, increased 7.7 percent for the week ending March 22.

The MBA reports that the 30-year fixed-rate mortgage averaged 3.79 percent during the week, down from 3.82 percent the week prior.

Source: “Mortgage applications rebounded last week as rates fell: MBA,” Reuters (March 27, 2013)

As Interest Rates Rise, Mortgage Applications Drop!

Loan demand dropped last week as interest rates rose for the fourth straight week, the Mortgage Bankers Association reports. 

The index measuring mortgage application activity, which includes applications for refinancing and home purchases, fell 6.4 percent for the week ending Feb. 8.

Separated out, refinancing applications during the week dropped 5.5 percent while applications for home purchases, viewed as a leading indicator of home sales, fell 9.5 percent. 

The 30-year fixed-rate mortgage averaged 3.75 percent last week, up from 3.73 percent the previous week. The 30-year rate is at its highest level since September 2012, according to the MBA. 

Source: “U.S. Mortgage Applications Slumped Last Week as Rates Rose,” Reuters (2/13/13)