This Week’s Mortgage News
Mortgage rates are at their lowest level in three years, and as a result more borrowers are choosing to refinance their mortgages. In fact, according to the Mortgage Bankers Association, total mortgage application volume increased 2.9 percent last week compared to the previous week. Applications are now nearly 35 percent higher than one year ago, when rates were considerably higher.
Additionally, in May sales of existing homes rose to their fastest pace in more than nine years. This is yet another sign of rising demand amid low interest rates and steady job creation. Low mortgage rates have also bolstered gains in home prices, as buyers can now afford more.
Home builders are also feeling confident about the housing market. The National Association of Home Builders’ monthly survey of builder sentiment rose in June for the first time in four months to 60. Anything above 50 is considered “positive” sentiment.
Industry Trends
WFS 15-Year High Balance Loan: 2.99%
Other WFS rates – Check with your GSM for current rates.
Refi Index – (+7.0%)
Purchase Index – (-2.0%)
NAHB Builder Confidence – 60 (+2 points)
Existing Home Sales – 5,530,000
(+1.8%)
New Home Sales – 551,000 (-6.0%)
Pending Home Sales – 116.3 (+5.1%)
Housing Starts – 1,164,000 (-0.3%)
Building Permits – 1,138,000 (+0.7%)
