The Mortgage Bankers Association is reporting that mortgage demand is at a four year high due to very low rates. Mortgage application volume reached 906.4, an increase of 28.4 percent on a seasonally adjusted basis, up from 706 one week earlier. On an unadjusted basis, the index increased 64.8 percent compared with the previous week, which was shortened by the New Year holiday and was up 39 percent compared with the same week a year ago. Refinancing also experienced and increase in volume.

- 30-year fixed-rate mortgages decreased to 5.62 percent from 5.73 percent.
- 15-year fixed-rate mortgages decreased to 5.07 percent from 5.21 percent.
- 1-year ARMs decreased to 5.77 percent from 6.04 percent

This is a positive sign for the overall real estate market and one step on the path to getting back to normal sales activity. Mortgage brokers serve as a very important part of the real estate process, but like anything else if that part is abused it can have a dire affect on the market. It does look as though the measures put in place by banks to curb abuse are starting to take affect. I think we can look forward to a good 2008 and steady growth for years to come.

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