With U.S. interest rates on the way down, potential American homebuyers are reportedly applying for mortgages with increased demand.
Data from the Mortgage Bankers Association’s seasonally adjusted index signaled that the U.S. mortgage volume increased 3% last week from the week prior.
“U.S. bond yields continued to move lower as incoming data signaled a softer economy and more signs of cooling inflation,” said MBA deputy chief economist Joel Kan. “Most mortgage rates in our survey decreased, with the 30-year fixed mortgage rate decreasing to the lowest rate in two months.”
Meanwhile, refinancing applications increased 2% last week from the previous week.