Mortgage Applications Fall as Rates Soar
Applications for U.S. home mortgages fell last week as rates on some adjustable loans soared to their highest levels in more than two months, according to data from an industry group Wednesday.
The Mortgage Bankers Association said its seasonally adjusted index of mortgage application activity declined 4.3 percent to 652.5 in the week ended Nov. 23.
Rates on one-year adjustable-rate mortgages that include many jumbo loans climbed 26 basis points to 6.24 percent, the highest since the height of the credit crunch in mid-September, the MBA data shows.
But fixed 30-year mortgage rates declined 9 basis points to an average of 6.09 percent last week, the lowest level since the week ended March 23.
The MBA's seasonally adjusted index of refinancing applications fell 15.3 percent to 1,862.9 last week. The index measuring loan requests for home purchases rose 6.1 percent to 450.1 in the week, the MBA said.