The Mortgage Bankers Association’s (MBA) Weekly Survey for the first full week of April seemed to bring about positive news for the spring housing market. For the week ending April 8th, the MBA reported a 10% increase in mortgage application activity from the week before.
Both the Refinance Index and Purchase Index saw healthy increases on a week-over-week basis, reaching 11% and 8% respectively. The MBA said this week’s survey results showed both indexes reaching new high points. The Refinance Index’s last peak was in February 2016 while the Purchase Index’s last peak was in October 2015. On a seasonally unadjusted rate, the Purchase Index was 24% higher than the same time last year.
Chief Economist of the MBA, Mike Fratantoni, attributed the spike in mortgage application activity to the robust job market and low mortgage interest rates. Indeed, the average contract interest rates for 30-year fixed rate mortgages on conforming loans, jumbo loans and FHA loans each saw declines ranging from 0.02 to 0.07%. Read the full article at http://bit.ly/22v9IrH.