Mortgage Applications Post Solid Jump

July 9, 2014

Mortgage applications reversed course last week after several weeks of softening demand, as both applications for home purchases and refinances showed an increase in activity, the Mortgage Bankers Association reported Wednesday. The MBA’s overall index of mortgage application activity showed demand rose by 1.9 percent for the week ending July 4.

Separated out, mortgage applications for home purchases, viewed as a leading gauge of future home sales, jumped 3.7 percent, while refinancing applications rose 0.4 percent last week.

The 30-year fixed-rate mortgage rose last week by 4 basis points, averaging 4.32 percent for the week from 4.28 percent the week prior, the MBA reports. The MBA’s survey reflects more than 75 percent of the U.S. residential mortgage application market.

Source: “Mortgage Applications Rose in Latest Week: MBA,” Reuters (July 9, 2014)