“The refinance share of mortgage activity increased to 50.6 percent of total applications from 50.3 percent the previous week,” the MBA wrote in a release.
The data was compiled for the week ending July 24, 2015.
It has also been welcomed news for originators, following the release of new stats suggesting home ownership is at its lowest rate since the 1960s.
Data for the second quarter of 2015 shows that 63.4 per cent of Americans owned their home, down from 63.7 per cent in the first quarter and 64.7 per cent in the second quarter of 2014.
Still, mortgage applications experienced a slight uptick as well, edging up 0.8 percent on a seasonally adjusted basis, week-over-week. And on an adjusted basis, the Index rose by one percent, week-over-week.
That slight increase could be tied to lower interest rates.
The average contract interest rate for 30-year fixed-rate jumbo loans decreased to 4.12 percent from 4.16 percent, the lowest level for these mortgages since May 2015.
The average 15-year fixed-rate mortgage also decreased, falling to 3.39 percent from 3.43 percent. As did the average rate for 5/1 ARMs – dropping to 3.04 from 3.08 percent.
It also appears that originators – and mortgage borrowers – are preparing for a Fed rate hike, as applications for adjustable-rate mortgages decreased to 6.6 percent of all applications.
Refinances edged up on a week-by-week basis, and currently account for just over half of all mortgage applications, according to the Mortgage Bankers Association’s Weekly Mortgage Applications Survey.