The sales signature was exhibited outside of a sales house in Los Angeles, California on August 16, 2024.
Patrick T. Fallon | AFP | Getty Image
The mortgage fee did not move last week, but the demand for new mortgages continued to weaken. Both housing buyers and current housing owners are hindered by higher interest rates today.
According to the Mortgage Banking Association’s seasonal adjustment index, the total mortgage application was reduced by 2 % from the previous week.
The average contract rate for fixed -interest rates for 30 years with a compatible loan balance ($ 766,550 or less) has not changed at 7.02 %.
Applications for refinancing mortgages fell 7 % a week, 5 % higher than the same week a year ago. The interest rates are now 24 basis points higher than a year ago, so few valuable people can benefit. The majority of housing owners have a mortgage loan at a much less than what they are offered today.
The mortgage application for purchasing a mortgage decreased by 0.4 % from a week ago, 7 % lower than the same week a year ago.
“The purchase activity has decreased slightly, but the FHA purchase loan application is a bright place and has increased by 2 %,” said Joel Kang, Vice President and Deputy Chief Economist of MBA.
“New and existing home sales ended with powerful notes in 2024. If the mortgage loan interest rates continue to stabilize and stock for sale is reduced, the purchase activities are gradually recovered in the next few months. It is expected.
The mortgage rates have not worked very much this week, and the Federal Preparatory Service Conference on Wednesday is not expected to bring surprise or trading news.
“(FRED’s Jerome) Powell will be difficult to shake too many things in consideration of the calm, positive clues from inflation data and the uncertainty of the progress of the progress as a counter balance. “Matthew Graham, the chief executive officer of Mortgage News, writes. “Nevertheless, I can’t really eliminate Powell’s unstable reaction to Powell, but this time is certainly low.”
