Mortgage application activity has seen a notable decrease, with the seasonally adjusted Purchase Index down 6% and overall applications at their slowest pace this year. Despite a drop in mortgage rates to an average of 6.93%, buyers remain cautious, possibly due to lingering market uncertainties. Inventory levels may improve buyer sentiment in coming months. Although there were fluctuations in application types, overall refinance applications dipped slightly, signifying a tighter market contrast between fixed and adjustable-rate mortgages, and changes in FHA, VA, and USDA application shares reflect shifting borrower preferences.
The seasonally adjusted purchase index decreased 6% from one week earlier, while the unadjusted Purchase Index decreased 1% during the same week.
Mortgage rates decreased on average over the week, with the 30-year fixed mortgage rate dropping to 6.93%, yet applications decreased to their slowest pace.
Despite declining rates, mortgage applications dropped as buyers hesitated, although easing inventory could support future activity.
The FHA share of total applications increased to 16.6%, while the VA share decreased to 14.2%; the USDA share inched up to 0.6%.
Collection
[
|
...
]