May 26, 2018

Loan Demand Slips on Drop in Refi Applications

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Loan Demand Slips on Drop in Refi Applications

After a recent mini refinance boom was reported last week, applications for mortgages slowed, with demand falling 2.2 percent in the latest week ending July 25, the Mortgage Bankers Association reports.

Recent Weekly Reports
From the MBA

The MBA’s seasonally adjusted index measures both refinancing and home purchase demand for 75 percent of the U.S. residential market. For the week ending July 25, refinancing applications dropped 4 percent, after a 4 percent increase the prior week had lifted refinance applications to the highest level of activity since March of this year.

Meanwhile, the gauge for home purchase applications, viewed as a leading indicator of future home sales, ticked up slightly by 0.2 percent last week, following a 0.3 percent increase the prior week.

The 30-year fixed-rate mortgage continued to hold steady, averaging 4.33 percent during the week, unchanged from the last two weeks, the MBA reports.

Source: “Mortgage Applications Fall in Latest Week: MBA,” Reuters (July 30, 2014)