“Mortgage Applications Fall” as Interest Rates Rise!

Inreresting update! Mortgage applications continue to decrease as mortgage rates inch higher from their record lows set a few weeks earlier, the Mortgage Bankers Association.

Mortgage applications for the week ending August 7 dropped 7.4 percent. Mortgage applications just for refinancing fell 9.2 percent — marking the third consecutive week that refinancing applications have dropped. Refinancing applications make up the biggest bulk of mortgage applications on a weekly basis.

However, mortgage applications for home purchases, a future gauge of home buying, picked up some last week, rising slightly by 0.9 percent during the week.

The MBA reported that 30-year fixed-rate mortgages moved up 10 basis points last week, averaging 3.86 percent. So, do you see this happening in your region?  

Source: “U.S. Mortgage Applications Fall as Rates Jump in Latest Week,” CNBC.com (Aug. 22, 2012)