Despite Lower Rates, Mortgage Demand Falls

view original post

by UrbanTurf Staff

Demand for mortgages for home purchases fell last week, even as rates dropped. 

The Mortgage Bankers Association (MBA) reported Wednesday that mortgage application volume to purchase a home fell 2% last week, as long-term rates fell to 7.09%.

“The decline in rates led to a small boost to refinance applications, including another strong week for VA refinances,” Joel Kan, MBA’s Vice President and Deputy Chief Economist, said in a release. “However, the overall level of refinance activity remains low. While the downward move in rates benefits prospective homebuyers, mortgage rates are still much higher than they were a year ago, while for-sale inventory remains tight.”

loading…

This article originally published at https://dc.urbanturf.com/articles/blog/despite_lower_rates_mortgage_demand_falls/22312.