Z Cherry Blog

Home Mortgage Mix Shifting to Purchases

July 20th, 2009

Last November, 2008, right after the government announced some massive mortgage security and treasury purchase plans, home mortgage rates plummeted to the lowest levels on record.  Refinancing homeowners came out of the woodwork to apply for new mortgages, and the mix between refinance applications to home purchase applications heavily slanted to the refinance side.

Now, as we are in the summer of 2009, home loan interest rates have risen from the yearly lows by over one-half percentage point.  That increase in home mortgage rates, coupled with the fact that so many homeowners had just refinanced, caused a shift in the refinance to home purchase application mix.  Home mortgages new reign supreme, at least until or if interest rates plummet once again.

Entry Filed under: Business