Mortgage applications increased for the second consecutive week as both the refinance and purchase market saw its overall volume rise.
The Mortgage Bankers Association's market composite index revealed that mortgage loan application volume was up 4.6% on a seasonally adjusted basis for the time period ending March 27 compared to a
The refinance gauge jumped 4% week over week, while the purchase index soared 6% during this time period, the Washington-based trade group said.
"The increase in purchase volume was led by a nearly 6% increase in both conventional and government markets, perhaps signaling that households are finally ready to begin the home buying season," said Lynn Fisher, vice president of research and economics for the Mortgage Bankers Association.
Interest rates over the weekly period remained stagnant. For example, 30-year fixed conforming mortgages below $417,000 saw the average interest rate decline one basis point, to 3.89%. Meanwhile, 30-year fixed jumbo mortgages had average interest rates rise one basis point, to 3.9%.
Furthermore, the average contract interest rate for 30-year fixed mortgages backed by the Federal Housing Administration elevated two basis points, to 3.73%. Additionally, interest rates for 15-year fixed mortgages averaged 3.21%, which was down one basis point.
The MBA survey covers over 75% of all U.S. retail residential mortgage applications.
