Daily Real Estate News | Thursday, March
After four weeks of big declines, applications for home mortgages, viewed as
a leading gauge of future home sales, reversed course and ticked up 9.4 percent
last week, the Mortgage Bankers Association reports.
“Purchase applications improved dramatically this week, the first hint of
stabilization following a steady downward trend since January,” notes Ken Fears,
the National Association of REALTORS®’ manager of regional economics and housing
finance policy, on NAR’s Economists’ Outlook
The MBA’s seasonally adjusted index of mortgage application activity, which
includes both refinancing and home purchase demand, increased 9.4 percent for
the week ending Feb. 28. Refinancing applications rose 9.6 percent.
With both purchase and refinance application indexes showing improvement this
week, “this pattern would suggest that the trend was driven by financial market
improvements rather than a shift in consumer tastes or weather,” Fears notes on
The MBA reports that mortgage rates inched down last week, with the 30-year
fixed-rate mortgage falling 6 basis points to a 4.47 percent average.
Source: “U.S. Mortgage Applications Rose Last
Week: MBA,” Reuters (March 5, 2014) and “Latest Mortgage Application
Data,” National Association of REALTORS®’ Economists’ Blog (March