WASHINGTON -- Mortgage applications in the U.S. rose last week by the most in five months as borrowing costs near a one-year low spurred purchases and refinancing.
The Mortgage Bankers Association’s (MBA) index increased 10.3 percent in the period ended June 6, the biggest gain since the week ended Jan. 10, after falling 3.1 percent in the prior week, the Washington-based trade group reported Wednesday.
The refinancing gauge climbed 11 percent, also the strongest advance in five months, while the measure of purchase applications rose 9.3 percent, the biggest gain since the end of February.
The share of applicants seeking to refinance climbed to 53.6 percent from 52.7 percent the prior week, the MBA’s report showed.
The average rate on a 30-year fixed loan rose to 4.34 percent from the prior week’s 4.26 percent, which was the lowest since June 2013.
The average rate on a 15-year mortgage increased to 3.43 percent from 3.39 percent.