Demand for Mortgages Rises, , Despite Increasing Rates.<br />Last week, mortgage rates continued <br />to climb higher in the United States.<br />NBC reports that the increase has not <br />impacted mortgage demand, as buyers <br />continue to seek newly-built homes.<br />According to the Mortgage Bankers Association's <br />seasonally adjusted index, total volume for mortgage <br />applications rose 3% compared to the week prior.<br />Year over year, total applications are still down 21%.<br />However, NBC reports that applications have <br />increased for three consecutive weeks to reach <br />the highest level since May, despite rising rates.<br />New home sales have been driving purchase <br />activity in recent months as buyers look for <br />options beyond the existing-home market, Joel Kan, MBA’s vice president and deputy chief economist, via NBC.<br />Existing-home sales continued to be held <br />back by a lack of for-sale inventory as <br />many potential sellers are holding on <br />to their lower-rate mortgages, Joel Kan, MBA’s vice president and deputy chief economist, via NBC.<br />In May, sales of newly-built homes <br />rose by 12% compared to April and <br />were 20% higher than a year before.<br />Meanwhile, applications to refinance <br />a home loan increased by 3% for the week <br />but still came in 32% lower than in 2022.
