Home buyers are applying for mortgages at the highest rate since April — what does that say about the housing market?
Mortgage demand appears to be stabilizing after recent declines, suggesting that home buyers aren’t finished with the nation’s competitive real-estate market just yet.
The volume of applications for mortgages used to purchase homes increased more than 7% on a weekly basis for the week ending Sept. 10, reaching the highest level since April, according to data released Wednesday by the Mortgage Bankers Association.
An overall index for mortgage application volume edged upward only 0.3%, owing to the continued decline in refinance applications as mortgage rates have steadied in recent weeks.
Compared with a year ago, purchase loan applications were down 11%, the report noted, the smallest decline on an annual basis in 14 weeks. At this point last year, the real-estate market was in the midst of its major pandemic-driven boom in home sales.