Mortgage applications hit highest level since March

“Over this four week span, the refinance index has increased by about 18 percent. Despite the recent increases however, refinance application volumes remain more than 50 percent below levels seen last fall,” he said. 

The housing market still finds itself facing a many hurdles — rising foreclosures, falling home prices and a slowly recovering job market. 

The four-week moving average, which is less volatile than the weekly figure, is up 2.9 percent, increased 0.4 percent the purchase index and increased 4.3 percent for the refinance index.

The refinance share of mortgage activity increased to 63.1 percent of total applications from 62.7 percent the previous week. The refinance share is at its highest level since the week ending March 25. 

The average rate on a 30-year fixed loan dropped to 4.67 percent from 4.76 percent prior week, the lowest since early December. 

The average rate on a 15-year fixed mortgage fell to 3.81 percent from 3.96 percent, the lowest level since November 2010.