- Posted December 27, 2013
- Tweet This | Share on Facebook
Mortgage applications tumble to a 13-year low
By Josh Boak
AP Economics Writer
WASHINGTON (AP) -- The number of Americans applying for mortgages has fallen 63 percent since a May peak, reflecting a cooling housing market and higher borrowing rates.
The Mortgage Bankers Association says applications fell a seasonally adjusted 6.3 percent last week from a week earlier. Applications are now at a 13-year low.
The drop-off follows a 1 percentage point increase in mortgage rates from historic lows last spring. The average for a 30-year mortgage is 4.47 percent, according to mortgage buyer Freddie Mac.
Home sales stalled and began to fall once rates steadily increased after May. That ended a year and a half of rising mortgage applications since the housing bust.
Higher borrowing costs have made homes less affordable. Rates could rise further as the Federal Reserve scales back its economic stimulus.
Published: Fri, Dec 27, 2013
headlines Oakland County
headlines National
- 50 Years of Service: ABA has been a ‘stalwart ally’ for LSC funding
- ACLU and BigLaw firm use ‘Orange is the New Black’ in hashtag effort to promote NY jail reform
- Biden recalls time he bluffed knowledge of torts case and why he changed his mind about civil-trial work
- Lawyers’ ‘barrage of personal attacks’ on opponents started with tissue-box toss, appeals court says
- Longtime prosecutor resigns after judge tosses him from case, citing Perry Mason-type revelations
- 24% of law students expect to work in public service, survey says