Mortgage applications fell 2% this week, as rates continue to inch higher, adding hundreds of dollars in costs to potential homebuyers. Rates are a hop and a skip away from 7%, a trajectory which has deeply hit buyer demand.
The numbers: Mortgage applications fell 2% this week, as rates continue to inch higher, adding hundreds of dollars in costs to potential homebuyers.That weighed down the market composite index, a measure of mortgage application volume, the Mortgage Bankers Association said on Wednesday.
The big picture: Mortgage application activity — which includes purchases and refinances — has dropped to the slowest pace since December 1999, the MBA said.Mortgage rates are at the highest level since 2006. How that affects home buyers: With a $2,000 average monthly payment, a buyer would’ve been able to afford roughly a $500,000 home a year ago with the 30-year at 3.18% and with 20% down.Key details: The refinance index plunged by 1.8%, and was down 86% compared to a year ago.
The adjustable-rate mortgage share of activity fell to 11.7% of total applications, but that’s still “quite high,” Fratantoni said.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
What is a good mortgage refinance rate?Americans have watched home mortgage interest rates plummet to historically low levels, prompting many to refinance their existing mortgage loans. These refinance loans serve to replace homeowners' current mortgages with new loans and new terms.
Read more »
Rice basketball lands a commitment from 4-star forward Keanu DawesForward from Stratford is highest-rated recruit to pick Rice
Read more »
Consumers pull back on online shopping. Here are the biggest discounts this holiday season — and exactly when to buy them.Online holiday sales are expected to rise by just 2.5% to $209.7 billion this year, the slowest rate since 2012.
Read more »
Expect big discounts this holiday season, as people cut their online spending. Here's exactly where and when to find those bargains in TVs, toys and electronics.Online holiday sales are expected to rise by just 2.5% to $209.7 billion this year, the slowest rate of growth since 2012. Data suggests record-high discounts this holiday season as retailers aim to unload their inventory despite weaker consumer spending.
Read more »
New Jersey partnership helps pay family's mortgage after father dies of cancerMargie Moorman was presented with a year of mortgage payments in a surprise ceremony.
Read more »