Total mortgage application volume rose 2.3% last week from the previous week, according to the Mortgage Bankers Association. Lower interest rates were likely behind a sizable jump in loan applications to purchase a home. The average interest rate for a 30-year fixed-rate mortgage decreased to 4.64% last week from 4.67% the week before. The interest rate was 4.77% a year ago. The uptick in applications comes as the benchmark 10-year UST has dropped another 12 basis points to 2.60%. Tax-exempt borrowing costs are also lower along the curve. The 10-year MMD was 8 basis points lower for the week while the 30-year MMD dropped 13 basis points.
Interest Rate Observations
Source: Thomson Reuters, Bloomberg. The table above reflects market conditions as of March 12, 2019.
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