Latest Trends in US Mortgage Applications

In a recent update from the Mortgage Bankers Association's Weekly Mortgage Applications Survey, it was revealed that mortgage applications in the United States saw 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, indicating a steady demand in the mortgage market.

Market Index and Refinance Index Show Positive Growth

The Market Index experienced growth, moving from 224.8 to 230, while the Refinance Index showed a significant jump from 584.3 to 640.6. This surge in refinance applications, the strongest since October 2024, is attributed to the slight decrease in mortgage rates, according to MBA Deputy Chief Economist Joel Kan.

Purchase Index and Mortgage Rates

Contrasting the positive trends, the Purchase Index saw a decline from 156.7 to 153.1. Meanwhile, the average contract interest rate for 30-year fixed-rate mortgages slightly decreased from 6.97% to 6.95%, potentially influencing the refinance application rates.