“Ten-year Treasury yields climbed higher last week, as global investors remained concerned about the prospect for higher-for-longer rates and burgeoning fiscal deficits,” Kan said. “Mortgage rates followed Treasuries higher, with the 30-year fixed mortgage rate jumping 20 basis points to 7.9% – the highest since 2000. Rates have now risen seven consecutive weeks at a cumulative amount of 69 basis points.”
The data also revealed changes in the composition of mortgage activity. The refinance share of mortgage activity increased to 31.4% of total applications, up from 30.5% the previous week. The adjustable-rate mortgage (ARM) share of activity rose to 9.5% of total applications.
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“These higher mortgage rates are keeping prospective homebuyers out of the market and continue to suppress refinance activity. The ARM share of applications inched up to 9.5%, its highest since November 2022.”
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Source: mpamag.com