According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates were mostly flat last week, with slight declines for 30-year fixed-rate loans with conforming balances, 15-year fixed-rate loans, and 5/1 ARMs and increases for FHA and jumbo loans. With rates still elevated, demand for loans to buy homes fell 6 percent week-over-week. Joel Kan, MBA’s vice president and deputy chief economist, says demand was at its slowest pace since the start of the year. “Mortgage rates decreased on average over the week, as markets brushed off unexpectedly strong inflation data,” Kan said. “Despite mortgage rates declining … mortgage applications decreased to their slowest pace since the beginning of the year. Purchase applications were down for the week, as buyers remained on the fence, although loosening inventory may help support activity in the coming months.” The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. (source)
