Borrowers Applying For Refinance At Rates Not Seen In Years
July 26, 2012
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New figures released today from the Mortgage Bankers
Association's (MBA) weekly market survey show that homeowners have
been applying for mortgage refinance at
levels not seen in three years.
The survey shows that the number of applications submitted last
week rose 2 percent over the previous one, making refinance account
for 81 percent of all mortgage business. The last time the MBA had
reported a larger occurrence of refinance was in their report for
the week ending April 19, 2009.
These numbers coincide with recent reports from the Federal
Housing Finance Agency (FHFA) that signal an uptick in the number
of homeowners taking advantage of the government's
Home Affordable Refinance Program (HARP 2.0).
This report shows that one in every five borrowers who have
applied for refinance have done so through this program. HARP 2.0
was designed to help homeowners who took out mortgages through the
government backed entities Fannie Mae and Freddie Mac lower the
monthly interest payments on underwater loans.
The MBA survey didn't indicate any change in the average
interest on fixed rate loans, although current figures remain at
all time lows for new borrowers and homeowners looking to
Palm Beach, Florida, based Consumer Daily developed their own
system to measure average interest that indicates many borrowers
are receiving even lower rates than those reported by the MBA.
To see what rates you may be able to qualify for, discuss
potential refinance options with a professional at New Penn
Financial. They can help you decide whether or not to hop on the
bandwagon and join the increasing number of homeowners
restructuring their mortgages.
Average Interest On 15-Year Fixed-Rate Mortgages Sinking Faster
Than Other Popular Options
Housing Stock Down As More Homeowners Retain Their