Purchase Applications Move Higher

Purchase Applications Move Higher
Jun 06, 2007, 2:21 pm PDT

News provided by Quicken Loans

The Mortgage Bankers Association announced this morning that applications for mortgage loans slipped 1.7 percent last week when compared to the week prior.

The report showed that the Purchase Index rose 1.5 percent while the Refinance Index fell 6.1 percent from the previous week.

Quicken Loans Chief Economist, Bob Walters says that while the increase in home sales is heartening, there will be fluctuations in activity while the real estate market continues to stabilize.

"The warmer weather is undoubtedly bringing home buyers back into the market. What comes as a bit of a surprise is that the increase in purchase applications comes during a holiday-shortened week, where you would expect to see less buying activity," Walters said. "While the increase is encouraging, it is important to remember that as the real estate market continues to find its footing we will see significant ebb and flow in both purchase and refinance activity."

This article is reprinted by permission from Quicken Loans © 2007 Quicken Loans Inc. All rights reserved.

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