US mortgage applications rise 11pc

(Sharecast News) - US mortgage demand picked up last week as borrowing costs hovered near a four‑year low, according to the Mortgage Bankers Association, with total applications rising 11% from the previous week. Applications to refinance a mortgage jumped 14.3% and were up 109% on the year, reflecting a sharp drop in rates as the average contract rate for 30‑year fixed mortgages with conforming balances held at 6.09%, the lowest since 2022.

Applications to purchase a home rose 6.1% for the week and 10% for the year.

"Refinance applications increased for the fourth straight week to the strongest pace since 2022, with conventional refinances up 20%," said the MBA's Joel Kan.

"The increase in the average loan size for refinances indicates that more borrowers with larger loan sizes are seeking to lower their monthly payments."





Reporting by Iain Gilbert at Sharecast.com