Recent data shows a significant increase in mortgage demand, surging 20% as interest rates have dropped to their lowest levels since last year. The decline in mortgage rates, which have consistently fallen to a four-month low, is spurring a wave of refinancing activity. While the average rate on a 30-year mortgage is reported at 6.70%, this drop has not fully translated into increased home purchase applications, which remain affected by broader economic concerns. Analysts suggest that while falling rates generally bode well for buyers seeking affordability, the overall demand in the housing market is still uncertain.