Mortgage demand from homebuyers spikes 33% annually

Homebuyers appear to have an insatiable appetite for new and existing homes, applying for mortgages at an incredible pace.

Mortgage applications to purchase a home rose just 0.4% last week from the previous week but were a remarkable 33% higher than a year ago, according to the Mortgage Bankers Association.

August is the new April, thanks to the coronavirus pandemic. Pent-up demand from the disastrous spring market and the new stay-at-home mindset combined to send more consumers rushing to either buy homes for the first time or upgrade what they already have.

Low mortgage rates are only adding fuel to the fire. The average contract interest rate for 30-year fixed-rate mortgages with…