US Mortgage Applications Increase

In a recent update from the Mortgage Bankers Association (MBA), it was revealed that mortgage applications in the United States have seen a 2.3% increase in the week ending February 7. This marks a slight rise from the 2.2% increase observed in the previous week.

Indices Show Mixed Results

The Market Index saw an increase from 224.8 to 230.0, while the Refinance Index jumped significantly from 584.3 to 640.6. However, the Purchase Index experienced a decline from 156.7 to 153.1.

Interest Rates Slightly Drop

There was a minor drop in the average contract interest rate for 30-year fixed-rate mortgages, moving from 6.97% to 6.95%. According to MBA Deputy Chief Economist Joel Kan, "Mortgage rates moved slightly lower last week, which led to the pace of refinance applications reaching its strongest week since October 2024." He also noted that the average loan size for refinance borrowers increased, indicating a higher responsiveness to rate changes among these borrowers.