Refinancing Continues To Surge as Rates Fall

Washington, DC, January 23, 2008--The volume of mortgage applications last week rose 8.3% compared to the previous week as mortgage interest rates continued to decline and homeowners continued to refinance, the Mortgage Bankers Association said in its weekly survey.

Refinance applications rose 16.9% during the week ended Jan. 18, compared with the previous week, and accounted for 66% of all applications.

Refinance applications are up 92% since the beginning of November and purchase applications are up 7%.

Purchase applications home decreased 4.6%, the MBA said.

Total applications were up 63.7%, compared a year ago.

The average rate for the 15-year fixed-rate mortgage was 4.96% last week, down from 5.07% the previous week. The 30-year rate averaged 5.49% last week, down from 5.62% the previous week.