Reports of positive housing market news to start out the new year has likely provided those considering purchasing a property to make the investment. As a result, data from the Mortgage Bankers Association's Weekly Mortgage Application Survey for the week ending January 11 revealed application volume increased 15.2 percent from the week before.
According to the report, the Market Composite Index also moved significantly on an unadjusted basis, increasing 45 percent from the previous week. The seasonally adjusted Purchase Index was up 13 percent, marking the highest level since April 2011 while the index improved 47 percent over the week's span.
Additional information suggests that current homeowners are still considering refinancing their initial mortgage, as the refinance share of all mortgage activity remained steady at 82 percent. The Refinance Index jumped 15 percent from the previous week.
While a recent report from the National Association of Realtors suggest 2012 will set a record as the most affordable housing market yet, low mortgage rates will extend affordable buying and refinancing opportunities in 2013. To help boost sales and overall activity in the new year, NAR notes lending standards will need to loosen, allowing qualified buyers to be approved.