Homebuyers are trying to afford this pricey spring market and resorting to Adjustable Rate Mortgages, the highest demand in 14 years!
Mortgage applications to purchase a home rose 5% last week compared with the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($647,200 or less) increased to 5.53% from 5.36%, with points rising to 0.73 from 0.63 (including the origination fee) for loans with a 20% down payment. The rate on a 5-year ARM was 4.47%.
The share of ARMs increased to 11% of overall loans and to 19% by dollar volume.
Central Florida Builders take? Uh Oh, are we headed for another Housing Crisis?
