Mortgage Applications Rose 8.0% in Second Week of June
Washington, DC, June 17, 2020-Mortgage applications increased 8.0% from one week earlier, according to data from the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey for the week ending June 12, 2020.
The Market Composite Index, a measure of mortgage loan application volume, increased 8.0% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 7% compared with the previous week. The Refinance Index increased 10% from the previous week and was 106% higher than the same week one year ago. The seasonally adjusted Purchase Index increased 4% from one week earlier. The unadjusted Purchase Index increased 2% compared with the previous week and was 21% higher than the same week one year ago.
"Purchase applications increased to the highest level in over 11 years and for the ninth consecutive week. The housing market continues to experience the release of unrealized pent-up demand from earlier this spring, as well as a gradual improvement in consumer confidence," said Joel Kan, MBA's associate vice president of economic and industry forecasting. "Mortgage rates dropped to another record low in MBA's survey, leading to a 10% surge in refinance applications. Refinancing continues to support households' finances, as homeowners who refinance are able to gain savings on their monthly mortgage payments in a still-uncertain period of the economic recovery."