| Despite the fact that mortgage rates have started to | | | | received, did fall by 11% during the week ending on |
| climb, the Mortgage Bankers Association reports that | | | | April 2 when compared to the previous week. These |
| home buyers are still rushing to purchase a home in an | | | | figures were seasonally adjusted. |
| effort to take advantage of the home buyer's tax | | | | "Mortgage rates jumped last week as the Federal |
| credit that is slated to expire soon. | | | | Reserve completed their purchases of |
| Although the number of refinance applications took a | | | | mortgage-backed securities," said Michael Fratantoni, |
| bit of a fall after mortgage interest rates hit their | | | | who is the vice president of research and economics |
| highest levels since August, the Mortgage Bankers | | | | for the Market Composite Index association. |
| Association reports that requests for home purchase | | | | According to the association, number of refinancing |
| mortgage loans have remained steady. | | | | applications from 63.2% of the total mortgage |
| While it is true that that purchase index rose by half a | | | | applications to 58.7%. This represents the lowest these |
| percent when compared to the end of March, the | | | | figures have been since the week that ended on |
| rates are still down by 18.1% when compared to a | | | | August 28, 2009. The average interest rate for |
| year ago. Therefore, while it is certainly good to hear | | | | 30-year, fixed-rate mortgages, on the other hand, went |
| that mortgage loan requests appear to be remaining | | | | up from 5.04% to 5.31%, which represents the highest |
| steady, there is still plenty of ground to be made up. | | | | rate since the first week of August 2009. At the same |
| Furthermore, there is still a question as to whether or | | | | time, the average interest rate for a 15-year, fixed rate |
| not these gains will continue after the home buyer's | | | | mortgage increased from 4.34% to 4.54% while the |
| tax credit program expires. | | | | average interest rate for a one-year, adjustable-rate |
| Thanks to the half a percent purchase index increase, | | | | mortgage increased from 6.88% to 7.03%. |
| the share of government purchase applications also | | | | According to the Austin Board of Realtors, the real |
| rose to 49.9% of all applications. As a result, | | | | estate news from the Austin area is even better. Not |
| government purchase applications reached their | | | | only did home sales in the area increase by 4% when |
| highest share in more than 20 years. Furthermore, the | | | | comparing February of 2010 with February of 2009, |
| national Market Composite Index, which is used to | | | | but properties in the area are spending less time on |
| measure the volume of mortgage loan applications | | | | the market as well. |