According to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey the first week of January has been a great one for the housing industry. As compared to the previous week applications for mortgages increased dramatically at 76% and were 19% higher than the same week 1 year ago. Homeowners seeking to refinance their homes also jumped an additional 24%. All of these figures seem to indicate that the housing market is off to a great start in 2016.
According to Lynn Fisher, MBA’s vice president of research and economics, “MBA’s purchase mortgage application index reached its second highest level since May 2010 on a seasonally adjusted basis last week, second only to the week prior to the implementation of the Know Before You Owe rules. Bolstered by strong fourth quarter growth in jobs and continuing low rates, the results are similar to levels we saw in early December, suggesting that the purchase market’s strong finish to 2015 may be continuing. While refinances also increased on a holiday-adjusted basis, refinance activity was down 38 percent relative to a year ago when rates dove below four percent.”
While these figures can and do change on a daily basis, let’s hope that this is the beginning of a fantastic new year for all of us in involved in the housing market. As my mom always says, “So far, so good!”