Mortgage News from Quicken Loans

New home sales surged to its highest point so far this year in March. According to a report compiled jointly by the U.S. Census Bureau and the Department of Housing and Urban Development, sales increased by 13.8 percent over February's numbers to an annual adjusted rate of 1.213 million new homes. Year-to-date, however, new home sales are down 8.2 percent.

"The housing market is supported by two pillars: jobs and interest rates. The unemployment rate at 4.7 percent and 30-year mortgage rates in the mid-six percent range provide a solid foundation for home sales," said Bob Walters, chief economist for Quicken Loans, which closed $16 billion in home loans in 2005 through QuickenLoans.com. "Sales may have hit a plateau somewhat in comparison to the last two years, but with jobs plentiful and mortgage rates low, 2006 will be another good year for housing." Quicken Loans is the nation's largest online retail mortgage lender.

This article is reprinted by permission from Quicken Loans © 2006 Quicken Loans Inc. All rights reserved.