Mortgage News Daily
The Mortgage Bankers Association (MBA) is expecting May to provide an uptick in new home sales. Results of MBA’s Builder Application Survey indicate that applications for new home purchase mortgages increased 4 percent from April on a non-seasonally adjusted basis, and were 15 percent higher than in May 2016. On a seasonally adjusted basis MBA anticipates the monthly increase at 8.6 percent.
“Following a decline in April, applications for new homes slightly rebounded month-over-month in May, setting up a 15 percent year over year increase relative to May of 2016,” said Lynn Fisher, MBA’s Vice President of Research and Economics. “While March has signaled the peak in applications for new homes for the last two years, we may see more sustained activity throughout the balance of this year as demand for new homes continues to increase and strong house price growth continues to motivate homebuilding.”