Mortgage Refis Explode Higher As Rates Hit Record Lows

Mortgage applications in the US exploded by 55.4% last week as rates collapsed to record lows amid global growth fears and monetary policy response expectations.

Source: Bloomberg

The massive spike in applications was dominated by refinancings, which jumped a stunning 78.6% WoW, new home mortgage apps rose 5.6% WoW.

Source: Bloomberg

The sensitivity to the drop in mortgage rates to record lows is astounding as the following chart shows...

Source: Bloomberg

Outside of the post-9/11 refinancing boom and the chaos of November 2008, this is the biggest spike in refinancings ever.