Mortgage applications up in US

There has been a rise in mortgage applications in the US, according to new data, something that could be a further indication of a recovery in the country's property market.

Figures from the Mortgage Bankers Association's weekly survey showed that in the seven days to August 14th, the number of home loans increased by a seasonally adjusted 5.6 per cent from the previous week.

The unadjusted figure was a 4.8 per cent rise, while the tally was 25 per cent more than the equivalent week in 2008.

Such a factor may encourage those thinking of investing in the US market.

However, the real driver of a recovery in the US property market is the cheaper cost of buying homes, according to president of real estate portal Foreclosure.com Brad Geisen.

He stated: "During the housing boom, a lot of first-time home buyers were squeezed out of the market, but now property values have come down enough where they can afford it."

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