Mortgage Lenders Nationwide

The Mortgage Bankers Association said Wednesday Mortgage refinancing applications rose last week as home mortgage rates declined.  Refinance loan applications increased 18.2 % last week, the MBA said, following the third straight week where rates on 30-year home loans stayed below 5%. This brings mortgage refinance applications to their highest level since May.   “Such low refinance rates are spurring mortgage loan demand,” said Frank Northaft, Freddie Mac vice president and chief economist. On Thursday, Freddie Mac said the average rate on 30-year home loans stood at 4.87 %, down 4.94 % from last week. This is the lowest rate since the week of May 21, when they averaged 4.82 %. The record low on mortgage rates is 4.78 %, set last spring.   Average rates on 30-year fixed rate mortgages stood at 5.94 % this time last year.   Homeowners who are considering home refinancing their mortgage may want act soon.  Mortgage rates could inch back up as the home purchases diminish.