American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Business

Mortgage refinance demand jumps to a 2-year high, as interest rates drop

by admin July 18, 2024
July 18, 2024
Mortgage refinance demand jumps to a 2-year high, as interest rates drop

Mortgage rates dropped to the lowest level since March last week, sparking swift demand in refinancing. Homebuyers, however, seemed unimpressed.

Applications to refinance a home loan jumped 15% last week, compared with the previous week, to the highest level since August 2022, according to the Mortgage Bankers Association’s seasonally adjusted index. Demand was 37% higher than the same week one year ago when mortgage rates were exactly the same.

While the increase last week was large, it is coming off a very small base. Refinance demand is still more than 70% lower than it was in early 2020, before the Covid-19 pandemic hit.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($766,550 or less) decreased to 6.87% from 7.00%, with points dropping to 0.57 from 0.60 (including the origination fee) for loans with a 20% down payment.

“Mortgage rates declined last week, as recent signs of cooling inflation and the increased likelihood of Fed rate cuts later this year pulled them lower,” said Joel Kan, MBA’s vice president and deputy chief economist, in a release.

Applications for a mortgage to purchase a home fell 3% for the week and were 14% lower than the same week one year ago. Buyers today are facing a lean and pricey market, and now, with the expectation that rates could drop even more, they may be waiting on the sidelines for a better opportunity. More supply is slowly coming onto the market and sellers are starting to reduce prices, especially for homes that have been sitting on the market for a while.

Mortgage rates have not changed much to start this week, despite a stronger-than-expected report on retail sales.

This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Uranium and Gold Explorer Piche to Commence Trading on ASX
next post
GM to increase production of high-performance Cadillac Escalade V8 SUV

Related Posts

PayPal stock price analysis: buy, sell, or hold...

April 27, 2025

Could iDEGEN benefit as another $1 trillion is...

December 15, 2024

At a growing list of airports, TSA PreCheck...

February 28, 2024

Bitcoin Pepe hits $0.0326 as presale raises $8.3M...

May 15, 2025

Is American Express a good Warren Buffett stock...

January 2, 2025

Analyst sees HDFC Bank shares racing 18%: here’s...

December 23, 2024

Coca-Cola stock: dividend king with valuation concerns

September 29, 2024

Are investors overlooking financial stocks in favor of...

October 15, 2024

Taylor Swift endorses Kamala Harris: Can the singer’s...

September 11, 2024

More than half a million portable device chargers...

June 24, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • GMS stock jumps 29% on takeover interest from Home Depot, QXO, analysts raise PTs

      June 22, 2025
    • Japan’s rice price surge: what’s driving it and why it could spark a political crisis

      June 22, 2025
    • BofA raises STOXX 600 target amid resilient global growth, warns on Mideast risks

      June 22, 2025
    • Palantir co-founder: US must prevent Iranian nukes

      June 22, 2025
    • Fed governor Waller advocates for July rate cut amid tariff, labor market outlook

      June 21, 2025

    Categories

    • Business (3,189)
    • Investing (2,528)
    • Latest News (2,000)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved