Mortgage demand plummeted last week as homebuyers shied away from the housing market amid rising mortgage rates.
Mortgage loan application volume decreased by 10.6% last week on a seasonally adjusted basis when compared to the week before, according to a report Wednesday from the Mortgage Bankers Association.
The volume of refinances crashed by 11% during that same time, according to the group’s weekly survey.
The dropping demand comes as mortgage rates are rising again. As of Wednesday, the average rate on a 30-year fixed-rate mortgage has soared to 7.11%, according to Mortgage News Daily. That is notably up from a recent low of about 6.65% notched near the end of December.
“Mortgage applications dropped as a result with a larger decline in refinance applications,” said Mike Fratantoni, MBA’s senior vice president and chief economist. “Potential homebuyers are quite sensitive to these rate changes, as affordability is strained with both higher rates and higher home values in this supply-constrained market.”
WELL, THANK your Democrat Party & Biden REGIME from the 2020 COUP !!!!!
Those who vote democrat > have fun !!! Homes / Rent / Autos Unaffordable !!!! LOL LOL for You too !!
Under TRUMP we paid 1.5% to 2.0 % !!!!! Gas was $1.87 per Gallon WHO DO YOU WANT ??? DUGH !!!!