Numbers Count: Weekly mortgage data highlights
Numbers count. They matter to bankers and to prospective homebuyers, sellers, and real estate professionals. Here’s my take on the key numbers on the housing market this week.The numbers: Refis dip, and rates inch upward
Mortgage applications inched down last week as interest rates inched up, the Mortgage Bankers Association (MBA) said Jan. 28 in its weekly survey of mortgage activity. Mortgage applications — both refinancing and home purchase demand — fell 3.2% in the week ended Jan. 23. The MBA’s refi index fell 5%, and purchase applications were down just 0.1%. Fixed 30-year mortgage rates averaged 3.83% in the week, up from 3.80% in the previous week.What counts: If the Federal Reserve begins to raise rates this summer as many expect, you may not want to look back and say, “If only I’d explored refinancing options when the rates were lower.” Now may be a particularly opportune time to talk to a lender about a fixed-rate mortgage if you are a homeowner with an adjustable-rate mortgage or with a large home equity line of credit with adjustable rate that will likely rise if the Fed raises rates. As I said recently in a Bankrate.com interview, it may be to people’s advantage to be proactive than be in a reactive mode after rates rise.