Mortgage demand falters as interest rates rise for the first time in a month
Will Soaring Rates Crash the Housing Market?
Mortgage demand has decreased as interest rates rose for the first time in a month, crossing the 7% mark. The Mortgage Bankers Association reported a 5.7% drop in mortgage applications for the week ending May 24, with rates for 30-year loans reaching 7.05%. This uptick in rates led to a decline in both home purchase applications and refinancing requests, signaling a cooling housing market influenced by the Federal Reserve's high interest rates.
What was the percentage decrease in the Mortgage Bankers Association's index of mortgage applications for the week ended May 24?
The Mortgage Bankers Association's index of mortgage applications decreased by 5.7% for the week ended May 24.
What was the average rate on the popular 30-year loan last week, and how does it compare to the previous week's rate?
The average rate on the popular 30-year loan last week rose to 7.05%, up from 7.01% the previous week. This increase marks the highest level for interest rates in a month, indicating a slight upward trend after a period of stability.