After several weeks of declining applications, homebuyers bounced back into the market.
Mortgage applications increased 2.7% compared with the previous week, according to the Mortgage Bankers Association (MBA).
Purchase applications drove the gains. Applications to buy a home increased 5% from one week earlier based on the unadjusted Purchase Index and 5% higher than a year ago.
Mortgage rate movements were “mostly unchanged,” according to the MBA’s survey. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($484,350 or less) slightly decreased 0.01% from last week.
“We saw a good week for the spring homebuying season as a 5 percent increase in purchase applications – both weekly and year-over-year – drove the results,” said Joel Kan, the MBA’s associate vice president of economic and industry forecasting.