Credit Demand Barely Budges
Mortgage application volume held mostly steady a week ago, just nudging out a 0.1 percent gain on a seasonally adjusted basis in refinancing and home purchase. Nonetheless, the Mortgage Bankers Association reports that application volume is altogether better then a year back: up 8 percent year-over-year.
MBA reports that refinance volume dropped 1 percent for the week finishing July 17 from the earlier week. Then again, applications for home buys ticked up 1 percent on a seasonally adjusted basis. Purchase applications are 18 percent higher than they were a year ago.
MBA additionally reports that the normal loan size has been decreasing on purchasing applications since May, despite recent rises in home prices
"Given the general increase in purchase volume, we see this as a positive advancement, as it implies all the more first-time home purchasers getting into the market," says Mike Fratantoni, boss financial analyst for the MBA. " "We are not back to levels typical of a healthy market, but for the first time in a while, it is steadily improving."
MBA likewise reports that the 30-year fixed rate home loan stayed unchanged a week ago at a 4.23 percent normal.