Eight Best Marketing Practices to Fund New Loans Faster

Join our expert panelists to learn which best marketing practices will help you get to your customer quickly with your best offer – and win their business for another loan term.

engage.marketing event: All eyes on purchase

To help power your business forward, we’re bringing together the smartest minds in purchase mortgage marketing to share the insights, tactics and strategies that set leaders apart.

Home appraisal’s ugly history and uncertain future

This is Part I of a deep dive into the home appraisal industry. Today we explore the origins of the appraisal industry and its current lack of diversity.

2021 Agent Rankings now live

Today RealTrends + Tom Ferry announce the 16th annual The Thousand of America's top 1,000 real estate sales and professionals and teams.

Mortgage

Jump in mortgage applications for home purchases shows buyers are back

Purchase apps last week were 6.7% higher than a year ago, MBA says

Applications for mortgages to purchase homes gained for the sixth consecutive week to a level that was 6.7% higher than a year ago, back when a deadly pandemic wasn’t interrupting the spring home-buying season.

A seasonally adjusted index measuring purchase applications jumped 9% last week, according to a report from the Mortgage Bankers Association. Applications for refinancings fell 0.2% from the prior week, though the level was 176% higher than a year ago, MBA said.

Last week’s so-called purchase apps were up 54% from early April when most U.S. states were under lockdown orders to keep people at home in an effort to stem the spread of COVID-19, said Joel Kan, MBA’s associate vice president of economic and industry forecasting.

“The housing market is continuing its path to recovery as various states reopen, leading to more buyers resuming their home search,” said Joel Kan, an MBA associate vice president.

The surge in purchase demand drove the overall index, measuring both purchase and refi applications, higher by 2.7% on a seasonality adjusted basis from the prior week, the report said.

Demand is being driven by a shortage of homes on the market that preceded the epidemic, coupled with mortgage rates near the lowest level ever recorded.

The supply of properties on the market at the end of April was 1.47 million, the National Association of Realtors said last week. That’s the lowest level ever recorded for the month, said Lawrence Yun, NAR’s chief economist.

Last week, the average U.S. rate for a 30-year fixed mortgage dropped to 3.24%, within one basis point of the all-time low set two weeks earlier, according to Freddie Mac.

The share of applications for mortgages backed by the Federal Housing Administration decreased to 11.2% from 11.5% in the week prior, the report said. The share of applications backed by the Veterans Administration fell to 12.4% from 13.4%, the report said.

Leave a comment

Most Popular Articles

Mortgage forbearance drops as expiration date nears

Mortgages in forbearance fell for the 15th consecutive week last week to 4.04% of servicers’ portfolio volume ― a 12 basis point decline, according to a survey from the Mortgage Bankers Association.

Jun 14, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please