Applications to refinance a home loan surged 20% last week compared with the previous week, according to the Mortgage Bankers Association's seasonally adjusted index.

Applications for mortgages jumped to the highest level in over two years, as homeowners jumped on lower mortgage rates.

People who had to obtain mortgages in the past few years while rates were at multi-decade highs have started a mini-refinancing boom as rates have eased. Applications to refinance mortgages were up 20% from the previous week to their highest level since July 2022.