Mortgage demand surge hits 6-week peak amid falling interest rates

Posted on November 24, 2023   |  

Mortgage interest grew by 3% as rates continued to fall, signaling a positive trend.

The average rate for 30-year fixed-rate mortgages drops to 7.41%, down from 7.61%, with points decreasing to 0.62.

Refinance applications go up by 2%, staying only 4% lower than the same week a year ago, even though rates are 75 basis points higher.

Mortgage applications for home purchases increase by 4% week to week but remain 20% lower than one year ago.

The average loan size for a home purchase drops to $403,600, the lowest since January 2023, indicating more first-time homebuyers.

Despite a small increase in mortgage demand, the housing market remains weak, with October's existing home sales hitting a 13-year low.