MCT: 28% Increase in Mortgage Lock Volume in February

(Image courtesy of mali maeder/pexels.com)

Mortgage Capital Trading, San Diego, found a 27.91% increase in mortgage lock volume in February compared with January.

The purchase lock month-over-month index change was 25.71%, with rate/term refinance up 65.93% and cash-out refinance up 25.79%.

Year-over-year, February 2025 saw a 9.63% increase in the total lock volume index. Purchase lock volume was up 4.57% from last year, rate/term refinance was up 95.69% and cash-out refinance was up 24.57%.

The month-over-month increase in volume follows typical seasonal patterns, rebounding from the December and January lull. MCT noted recent trends indicate that total volume may rise further over the next few months, before demand tapers off over the summer.

There’s also significant uncertainty in the economy–and how that may affect mortgage rates–the report observed.

“The expectation is that the Federal Reserve will likely hold the line on rates in March and May, with markets anticipating a likely rate cut in June. Economic performance given impending tariffs, nonfarm payroll and the Consumer Price Index will continue to be the biggest factors influencing rate decisions as we move into the summer months,” said Andrew Rhodes, Senior Director and Head of Trading at MCT.