Home loan borrower and refinance applications have surged in the US, according to a recent survey.
The Mortgage Bankers Association today released its survey on mortgage growth. The Market Composite Index, a measure of mortgage loan application volume, increased 14.3 percent on a seasonally adjusted basis since last week.
The Refinance Index increased 21.8 percent from last week’s adjusted index.
The surge may be attributed to borrowers locking in fixed interest rates, which had fallen in recent times
In the US, the average contract interest rate for 30-year fixed-rate mortgages dropped to 5.13 percent from 5.18 percent.
And for 15-year fixed-rate mortgages, the average contract interest rate fell to 4.45 percent from 4.62 percent.