Following a week in which all types of mortgages saw notable rates decline, homeowners looking to refinance saw yet another week of rate drops to provide a good situation for those looking to get out of debt.
Mortgage rates continued to fall in April, providing ideal rates for refinancing to homeowners who may have expected rising rates in the wake of the Federal Reserve removing itself from the market last month.
According to the latest Weekly Mortgage Applications Survey for the week ending April 16 by the Mortgage Bankers Association, the average rate for 30-year fixed-rate mortgages saw the biggest decline of the week as it shed 0.13 percentage points to hit 5.04 percent. One week earlier, the average rate had declined by 0.14 percentage points.
The average rate for 15-year FRMs declined for a second week as well, dropping 0.11 percentage points to hit 4.34 percent for the week. The average rate had fallen by 0.09 percentage points one week earlier.
One-year adjustable-rate mortgages saw the smallest decline of the week, declining by 0.07 percentage points to hit 6.95 percent. One week earlier, the rate declined by 0.01 percentage points.
The total volume of mortgage applications increased over the course of the week, rising 13.6 percent compared to the previous week’s rates, with refinance applications increasing by 15.8 percent.