Mortgage application volumes ticked higher last week as mortgage rates continued to edge down, driven by an uptick in refinancing activity, according to data from the Mortgage Bankers Association (MBA).
The Market Composite Index, which measures mortgage loan application volume, rose 0.5% on a seasonally adjusted basis and 0.3% on an unadjusted basis compared to the prior week.
“Treasury yields continued to move lower last week, and mortgage rates declined for the second week in a row, with the 30-year fixed rate down 10 basis points to 7.08%, the lowest level since early April,” said Joel Kan, MBA’s deputy chief economist. “While the downward move in rates benefits prospective homebuyers, mortgage rates are still much higher than they were a year ago, while for-sale inventory remains tight.”
