Are We In Economic Expansion?

According to Startribune "Mortgage applications jumped last week, as low interest rates fueled refinancing activity. The Mortgage Bankers Association said Wednesday its weekly application index climbed 21.2 percent for the week ended March 13. The index was 876.9, up from 723.4 a week earlier, the trade group said. Almost 73 percent of applications came from borrowers seeking to refinance home loans at lower rates, not home buyers. The survey provides a snapshot of mortgage lending activity involving mortgage bankers, commercial banks and thrifts. It covers about half of all new residential mortgage loans made each week. An index value of 100 is equal to the application volume on March 16, 1990, the first week the association tracked it."

Mortgage refinancing is also up. It increased over 13 percent in the week ending March 6, compared with the previous week, writes News 14.

"The lowest interest rates on record are enticing homeowners looking to lower their mortgage payments as the labor market deteriorates. Still, mounting foreclosures are pushing down property values, further depressing household wealth," reads the story in Bloomberg.