MCT: 3.33% Increase in August Rate Lock Volume

(Image courtesy of MCT; Breakout image courtesy of Robert Broderick/pexels.com)

Mortgage Capital Trading, San Diego, reported an increase of 3.33% in mortgage lock volume from July to August in its MCT September Indices Report.

Specifically, there was a significant increase in refinance activity month-over-month, as rates have dropped somewhat in recent weeks.

Broken down into index by rate lock type, the rate/term refinance index was up a notable 103.19%.

The cash out refinance index was also up, by 16.28% month-over-month.

However, the purchase index was down by 3.44%.

Year-over-year, the August index for total rate lock volumes was up 21.26%.

The year-over-year purchase lock index was up 11.64%, the rate/term refinance index was up 369.48% and the cash out refinance index was up 21.46%.

With a Federal Reserve meeting scheduled Sept. 17-18, all eyes continue to be on anticipated rate cuts, and what those might spell for industry activity.

“We could see additional short-term market volatility as the Fed considers a 25 or 50 basis point rate cut,” Andrew Rhodes, Senior Director and Head of Trading at MCT, said.