The Mortgage Bankers Association (MBA) issued their latest weekly report, which showed a 4.7 percent increase in overall mortgage applications. This is a 4 percent increase from last week’s released report on an adjusted basis. Couple with this, unadjusted figures saw a 7 percent increase week-over-week.

The MBA also keeps a refinance index, which saw a 10 percent increase, and refinancing completions rose by 64 percent. Out of all of these new applications, 7 percent were for adjustable rate mortgages, which is down from percent from last week. This month saw the largest decrease in the average mortgage loan rate, which went down from 4.66 percent to 4.58 percent – the newest low since November 2013. Fifteen-year fixed-rate mortgages saw interest rates dip from 3.72 percent to 3.68 percent.

These interest rate decreases are of particular interest, since rates were rising from November 2013 into the New Year. However, the announcement made by the U.S. Federal Reserve to restrict an $85 billion per month bond-buying program they initiated played a major role in mortgage application lows. This change can only be a good sign for the housing market, and should build some momentum for the spring season.

Source: http://finance.yahoo.com/news/mortgage-applications-continue-rise-rates-154050646.html