Applications for U.S. home mortgages last week fell to their lowest since December despite a sharp drop in borrowing costs, according to data from an industry group on Wednesday.
The Mortgage Bankers Association said its seasonally adjusted index of mortgage application activity declined 2.9 percent to 652.0 in the week ended March 14. It was the lowest since the last week of December.
The MBA's seasonally adjusted index of refinancing applications fell 4.6 percent to 2,335 last week, despite a drop in long-term mortgage rates. The average 30-year fixed mortgage rate plunged 0.39 percentage point to 5.98 percent, the MBA said.