US mortgage applications driven up by refinancings

[Robb]

Source: Reuters

NEW YORK, Dec 9 (Reuters) - Demand for U.S. home loans rose last week to the highest level in about two months, mostly from borrowers taking advantage of low mortgage rates to refinance, the Mortgage Bankers Association said on Wednesday.

Nearly three of every four loan requests was for a refinancing rather than a purchase, pointing to caution with unemployment at a double-digit rate and fear of job loss prevalent.

(snip)

Average 30-year mortgage rates rose 0.09 percentage point last week to 4.88 percent but haven't strayed far from all-time lows.

The rate was down from 5.44 percent a year ago and compared with a record low of 4.61 percent set in March, according to the Mortgage Bankers Association.

Read more: http://www.reuters.com/article/idUSN0922380820091209

[Craftsman]

1. A friend of mine just refi'ed to lower their month out lay

His wife was laid off ut found a job at less pay. Due to that they are tight. So they had 18 years left on a 30 year note, now they've 30 years of payments with a lower payment.