According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates rose last week but the increase didn’t stop home buyers. In fact, buyers pushed demand for loans to buy homes 7 percent higher than they were last year at this time. Joel Kan, MBA’s vice president and deputy chief economist, says all loan types saw gains. “Purchase applications were higher over the week and 7 percent ahead of last year’s pace, with all loan types showing increases in purchase activity, as potential home buyers shrugged off the current economic and mortgage rate uncertainties and returned to the market,” Kan said. Overall, mortgage rates were higher last week but with only slight increases seen for 30-year fixed-rate loans with conventional and jumbo balances, as well as loans backed by the Federal Housing Administration. The MBA’s weekly applications survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. (source)
