Mortgage applications soared nearly 10% this past week as record low interest rates lifted refinancing activity according to an industry trade group. Also growing were the mortgage refinance applications said the Mortgage Bankers Association.
With 30 year interest rates hovering just above the 4% mark many buyers are obviously jumping on the band wagon while home prices are still low.
Some are likely selling (or recently sold) so they can buy more house for the money now.
Sellers may not make much (or even anything) on the sales but the opportunity to possibly recapture the lost equity later when the market changes (and it will) is something they likely understand.