Despite an uptick in rates to start 2024, applications increased nearly 10 percent for the week ending January 5. According to the Mortgage Bankers Association, apps were up 9.9 percent, while the holiday adjusted Refinance Index increased 19 percent from the previous week and was 30 percent higher than the same week one year ago.
“The increase in purchase and refinance applications for both conventional and government loans is promising to start the year but was likely due to some catch-up in activity after the holiday season and year-end rate declines,” said Joel Kan, MBA’s Vice President and Deputy Chief Economist. Mortgage rates and applications have been volatile in recent weeks and overall activity remains low.”
The refinance share of mortgage activity increased to 38.3 percent of total applications from 36.3 percent the previous week.