Mortgage application activity surged last week in response to headlines ofmortgage ratesstably holding multi-year lows. The Mortgage Bankers Association (MBA) reported an increase of11.0%on a seasonally adjusted basis for the week ending February 27.
Refi applications once again led the charge, jumping14.3%from the previous week and109% highervs the same week one year ago. Conventional refi apps rose20%for the week, marking the fourth consecutive weekly increase and thestrongest pace since 2022.
Purchase demand also strengthened. The seasonally adjusted Purchase Index increased6.1%from one week earlier and was10% higherthan the same week one year ago. Lower rates and a gradual improvement in housing inventory continue to support buyer activity as the spring market approaches.
The composition of activity shifted further toward refinances. The refinance share of total applications increased to59.8%from 58.6% the prior week, while ARM share rose to8.8%. FHA share decreased to15.8%, VA share declined to17.1%, and USDA share remained unchanged at0.4%.
Notably, the present week has seen a significant shift in rates with the average lender jumping back to early February levels.
Source: MND NewsWire
