Talking Points

  • The highest interest rates in a month prompted a setback to the mortgage market last week.
  • Total mortgage application volume—which includes applications for home purchases and refinancing—dropped 0.5 percent on a seasonally adjusted basis, the Mortgage Bankers Association reported Wednesday. 
  • Higher interest rates had a big impact on refinancing applications last week, which dropped 4 percent; applications are now 36 percent lower than a year ago when interest rates were nearly half a percentage point lower.
  • The 30-year fixed-rate mortgage averaged 4.11 percent last week, up from 4.04 percent the week prior. 
    However, applications for home purchases proved to be more rate-proof last week and increased 3 percent week over week. 
  • Applications for home purchases are now 4 percent higher than the same week a year ago.