The Mortgage
Bankers Association (MBA) reported on
Wednesday that the mortgage application volume in the U.S. rose 3.7 per cent in
the week ended January 19, following a 10.4 per cent climb the week before. This marked the strongest weekly increase
in total mortgage application volume since mid-January 2023. This
marked the third straight weekly increase in total mortgage application volume.
According to
the MBA’s data, last week’s gain in mortgage applications reflected a 7.5 per cent surge in mortgage applications to
purchase a home that was partly offset by a 7.0 per cent drop in mortgage refinance
applications.
The report also
revealed that the average fixed 30-year mortgage rate edged up from 6.75 per cent to 6.78
per cent.
Commenting on
the latest survey results, Joel Kan, MBA's vice president and deputy chief
economist, noted that mortgage rates increased slightly last week but there
continued to be an upward trend in purchase activity. “Conventional and FHA
purchase applications drove most of the increase last week as some buyers moved
to act early this season,” he said, adding that refinance applications declined
over the week as there was still little incentive for homeowners to refinance
with rates at these levels.