The persistent decline in mortgage interest rates seems to paying off. Rodney Anderson Lending Services, an originator of mortgage loans, reports that its new mortgage activity doubled in December from a year earlier. Seventy percent of the company’s loan applications were for residential properties.
While refinancing played a big part in the increased volume, “it’s important to note that a significant portion of those loans—roughly seven out of 10—were going to individuals purchasing new homes,” says Rodney Anderson, executive director and senior managing partner of the mortgage originator. “Right now, rates are at their lowest point in nearly for decades, and despite what you may hear, lenders are still loaning money in the housing market. There’s definitely still purchase and refinance money available for qualified buyers,” Anderson notes.
