Mortgage applications rise nearly 18 percent as refinances, purchases grow

Mortgage applications rise nearly 18 percent

WASHINGTON — The number of customers applying for mortgages jumped last week, a sign that the market could be reviving after dropping off sharply last month.

The Mortgage Bankers Association says overall applications were up nearly 18 percent from a week earlier. Applications to refinance home loans were up 21 percent to the highest level since May 2009. That’s because buyers have been taking advantage of near-record-low mortgage rates.

New mortgages taken out to purchase homes increased for the first time in six weeks, rising 7 percent. That’s an encouraging sign for the housing market, as applications had dropped off sharply when federal tax credits expired.