Mortgage Applications Dip 2.7%

June 29, 2011

Despite interest rates reaching new yearly lows, mortgage applications for purchasing new homes and refinancing continue to fall. Mortgage applications decreased 2.7 percent from one week earlier, the Mortgage Bankers Association reports in its weekly survey for the week ended June 24.

Mortgage applications for home purchases fell 3 percent from one week earlier while refinance applications dropped 2.6 percent.

Mortgage rates continue to stand at yearly lows. The 30-year fixed-rate mortgage, the most popular choice among home buyers, decreased to 4.46 percent from 4.57 percent in the week. That marks the lowest the 30-year rate has been since November 2010. The 15-year fixed-rate mortgage also reached new yearly lows at 3.64 percent, its lowest since November 2010 as well.

Source: “Mortgage Applications Decrease in Latest MBA Weekly Survey,”Mortgage Bankers Association (June 29, 2011)