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US Home Mortgages Applications Fall Again

Published: Wednesday, 7 Nov 2007 | 7:17 AM ET
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By: Reuters

Applications for U.S. home mortgages fell for the first time in five weeks as a recent jump in loan refinancings came to a halt, an industry group said Wednesday.

The Mortgage Bankers Association said its seasonally adjusted index of mortgage application activity declined 1.6 percent to 670.6 in the week ended Nov. 2.

The drop was led by the seasonally adjusted index of applications for home refinancings, which eased 3.2 percent to 2,176.1, the MBA said.

At the end of October, the index hit its highest level since March, suggesting that borrowers were scrambling to refinance adjustable-rate mortgages before scheduled increases in monthly payments, economists said.

The gauge for home purchase applications was measured at 412.7 last week, compared with 412.9 in the previous week, the MBA said.

Fixed 30-year mortgage rates rose 1 basis point to 6.16 percent last week, the MBA said. The rate on 1-year adjustable mortgages increased to 5.94 percent from 5.93 percent.

Copyright 2011 Thomson Reuters. Click for restrictions.


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