A bit of easing in mortgage rates prompted a tiny uptick in refinancing during the week ended October 28, but overall mortgage application volume continued its long slide. The Mortgage Bankers Association (MBA) said its Market Composite Index, a measure of that volume, decreased 0.5 percent on a seasonally adjusted basis from one week earlier and was 1.0 percent lower on an unadjusted basis. The Refinance Index gained 0.2 percent from the previous week but was still 85 percent lower than the same week one year ago. The refinance share of mortgage activity increased to 28.6 percent of total applications from 28.2 percent the previous week. [refiappschart] The seasonally adjusted Purchase Index decreased by 1 percent from one week earlier and was two percent lower before adjustment. It was the sixth straight week for lowering purchase mortgage volume which it now 41 percent below its level during the same week in 2021. [purchaseappschart] Joel Kan, MBA’s Vice President and Deputy Chief Economist said mortgage applications declined for the sixth consecutive week despite a slight drop in rates. “The 30-year fixed rate decreased for the first time in over two months to 7.06 percent, but remained close to its highest since 2002,” he said. “Apart from the ARM loan rate, rates for all other loan types were more than three percentage points higher than they were a year ago . These elevated rates continue to put pressure on both purchase and refinance activity and have added to the ongoing affordability challenges impacting the broader housing market, as seen in the deteriorating trends in housing starts and home sales.”
Related Articles
Happy Halloween? Mortgage Rates Average 6.66%
October 6, 2022
Allen Santos
Daily Real-estate News
Comments Off on Happy Halloween? Mortgage Rates Average 6.66%
Despite a slight decrease this week in mortgage rates, the average for the 30-year fixed-rate loan remains more than double what it was a year ago, adding hundreds of dollars per month to financing costs […]
Mortgage News: Latest Round Of Fixed-Rate Increases Push 2-Year Deals Above 6%
July 11, 2023
Mark Paul Cervantes
Mortage News, Top News
Comments Off on Mortgage News: Latest Round Of Fixed-Rate Increases Push 2-Year Deals Above 6%
10 July: Virgin, HSBS Respond To Rising Wholesale Borrowing Costs Virgin Money is increasing selected fixed rates across its range – its third rate increase since the Bank of England raised interest rates on 22 […]
Biden admin cuts some mortgage fees amid housing affordability crisis
February 23, 2023
Mark Paul Cervantes
Financial Markets, Top News, U.S. Market
Comments Off on Biden admin cuts some mortgage fees amid housing affordability crisis
Washington, DCCNN — The Biden administration announced Wednesday a change that will save an estimated 850,000 home buyers — primarily low- and middle-income and first-time buyers — an average of $800 on home financing costs this […]