The Mortgage Bankers Association reported today that applications to purchase homes were up 1.5% last week compared to the previous week. This slight uptick could be attributed to the increasing volume of government loans and remarkably low mortgage rates.

The unadjusted purchase index also rose by the same percentage, according to the MBA. Compared to four weeks ago, that figure was up 7.1%. The last three weeks were driven by government-backed loans, especially Federal Housing Administration loans, as government loan volume increased 3.4% this week, compared to last week.

Mortgage rates also played a role in the spike in applications. Over the past week, 30-year fixed-rate mortgages fell from 4.69% to 4.60%. Fifteen-year fixed-rate mortgages decreased to 4.03% from 4.12%. Rates for one-year adjustable-rate mortgages (ARMs) also declined, from 7.15% to 7.10%.

All these statistics fly in the face of the other doom-and-gloom reports regarding the slump in pending home sales, rising foreclosures and plummeting home values. With record-low mortgage rates and low home prices, those who are eligible for financing should make that move to buy that house.