Weekly mortgage refinance demand is down more than 40% in a month
CNBC • • business
Key Points:
- Mortgage rates increased again last week amid ongoing tensions with Iran, pushing the average 30-year fixed mortgage rate to 6.57%, the highest since last August.
- Total mortgage application volume fell 10.4%, with refinance applications dropping 17% week-over-week, reflecting sensitivity to rising rates and economic uncertainty.
- Purchase mortgage applications declined 3% last week and showed minimal growth compared to the previous year, as affordability concerns and inflation fears dampen buyer confidence.
- FHA and VA loan applications remain more resilient than conventional loans, but overall economic uncertainty is impacting buyer sentiment.
- Early this week saw a sharp decline in mortgage rates following signs of potential de-escalation in the Iran conflict, though rates remain elevated compared to pre-war levels.
