Mortgage Rates Decline for Second Consecutive Week Amid Shift Toward Adjustable-Rate Mortgages
U.S. mortgage rates have decreased for the second straight week, with the average 30-year fixed-rate mortgage for conforming loans dropping to 7.37% from 7.41%. This decline has spurred a slight rebound in activity, as total mortgage application volume rose by 3.4% last week according to the Mortgage Bankers Association. Despite the dip, market trends show borrowers increasingly seeking lower rates through riskier products; adjustable-rate mortgage (ARM) applications reached an 11.3% share, the highest level in over a year. While purchase applications rose by 4%, they remain significantly lower than last year's levels, as many homeowners are locked into much lower historical rates and potential buyers await further economic clarity.
Topics: economic indicators housing market mortgage rates refinancing
Part of the story Mortgage Rates Decline for Second Consecutive Week Amid Shift Toward Adjustable-Rate Mortgages (6 articles)