The Mortgage Bankers Association said its mortgage application index rose 1.6 percent to a seasonally adjusted 686.2 in the week ended on Friday. It was the highest reading since 690.5 in the March 9 week and well above 552.6 in the same week a year earlier. While applications are up, “borrowers are having a tougher time getting mortgages and lenders have tightened up underwriting criteria, particularly on credit scores and downpayments,” said Bob Moulton, president of Americana Mortgage Group in Manhasset, New York.
So more borrowers are looking for loans, but fewer are finding them. Sounds about correct to me.