Mortgage applications in the U.S. rose last week , driven by demand for refinancing due to a drop in interest rates to their lowest level of the year, data showed on Wednesday an industry group .
The Mortgage Bankers Association (MBA , for its acronym in English ) said its seasonally adjusted index of mortgage application activity , which includes both refinancing and demand for home purchases rose 7 % in the week ending 3 May .
The seasonally adjusted index of refinancing applications rose 8.3% MBA while measuring applications for loans to buy homes, an important indicator of home sales, rose 2.4 %.
The refinance share of mortgage activity in total amounted to 76 % of applications from 75% .
Mortgage rates 30-year fixed averaged 3.59% , down one basis point compared to the previous week and the lowest since late December 2012 .
The data covers 75 % of applications for retail residential mortgages in the United States, according to the MBA.