Mortgage applications are up and higher than they were at this time last year. A good sign that the buyers are back and ready to make a purchase. RISMEDIA, Feb. 16 — Cambridge Realty Capital Company reports that loan origination requests in January were more than twice as high as the number reviewed during the same month last year.
Chairman Jeffrey A. Davis said that in January the company reviewed 39 separate loan origination requests totaling $220.5 million. This compares with 16 requests totaling $140.5 million in January 2005.
"In 2005, a strong second half contributed to a record setting year for origination requests. This momentum appears to have carried over into the New Year," he said.
Although lenders close a relatively small percentage of origination requests received, tracking this information is useful as an indication of current market directions, Davis believes.
"Rising interest rates and the Fed’s tighter monetary policies are obviously having an impact on lending activity at this time. When possible, borrowers have been attempting to move out of short-term and into long-term fixed-rate funding solutions," he noted.