Refis Push Mortgage Applications Up in January

Washington, D.C.–Home mortgage applications rose for the third week in a row as lower interest rates caused consumers to refinance, the Mortgage Bankers Association (MBA) said Wednesday.The Washington, D.C.-based group’s seasonally adjusted index of refinancing applications shot up 16.9 percent in the week ending January 18 to 4,178.2–its highest level since March 2004, according to The New York Times. In addition, the MBA said that activity was up 92 percent from the beginning of November, more than adjusting for the 4.6 percent index drop last week. Refinancings were two-thirds of all applications.The average 30-year fixed mortgage rate fell last week from 5.62 percent to 5.49 percent. Last week, the MBA market composite index–which tallies overall mortgage loan application volume–increased by 8.3 percent.