According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates moved higher last week. It was the third consecutive weekly increase. Rates were up for 30-year fixed-rate loans with conforming balances,15-year fixed-rate loans, and 5/1 ARMs. Joel Kan, MBA’s vice president and deputy chief economist, says the increases led to slower demand. “Mortgage rates increased for the third consecutive week, with the 30-year fixed rate inching higher to its highest level in four weeks …” Kan said. “Application activity over the week was lower with potential home buyers moving to the sidelines again, although there was a small increase in FHA purchase applications. Refinance applications decreased as borrowers remain sensitive to even small increases in rates at this level.” The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. (source)
