According to the Mortgage Bankers Association, the average contract interest rate for the 30-year fixed-rate mortgage was down to 6.75% as of January 12. On the bright side, demand seems to be picking up.
Read more: Mortgage applications surge as buyers respond positively to rate adjustments
Refinance loan applications rose 11%, while purchase mortgage applications grew 9%. Overall, loan application volume was up 10.4%.
Phil Rasori, chief operating officer of MCT, commented on the current landscape: “Softening purchase prices, paired with a further drop in rates, could boost purchases and refinances. However, we anticipate that seasonal lows in the purchase market will persist through Q1.”
The data from MCT’s lock volume indices offers a snapshot of rate lock volume activity within the residential mortgage sector. The indices categorize this data based on different lock types, including purchase, rate/term refinance, and cash-out refinance across various lenders (varying in size, services offered, and business models).
Source: mpamag.com