WASHINGTON–Mortgage applications were up 4.2% last week, according to the latest data from the Mortgage Bankers Association.
The numbers include an adjustment to account for the Labor Day holiday.
The MBA reported that unlike the applications that were seen during much of the summer, the most recent app volume has been driven more by buyers than refinancers. Mortgage applications to purchase a home jumped 9% compared to the previous week, the MBA reported.
"The purchase market remains supported by an improving U.S. labor market. Newly released data from the U.S. Census this week indicate that the median income increased by 5.2% last year, the highest rate of increase since 2007. Other recent but less comprehensive measures show wage growth continuing to strengthen in 2016," said Lynn Fisher, MBA's vice president of research and economics, in a released statement.
The average contract interest rate on the 30-year fixed conforming loan ($417,000 or less) decreased to 3.67% from 3.68%.