Going forward, this could reinforce the selling of T-Bonds-> Demand for Home Loan Refinancings Drops
Wednesday July 9, 7:01 am ET
NEW YORK (Reuters) - Demand in the United States for loans to buy homes and refinance mortgages fell in the July 4 holiday week as interest rates crept higher, an industry group reported on Wednesday.
The drop in applications for mortgage loans was, in part, due to the holiday weekend that lured Americans to beaches and parks.
And while rates are up slightly, borrowing costs remain low enough to encourage home buying as well as refinancings.
The Mortgage Bankers Association of America said its measure of demand for refinancings, the refinancing index, fell 21.3 percent to 6,768.3, while its gauge of demand for loans to buy a home, the purchase index, fell 5.5 percent to 414.1.
The trade group's measure of overall lending activity, the market index, fell 17.7 percent to 1,346.3 and 30-year loan contract rates rose to 5.37 percent in the July 4 week from 5.23 percent in the previous reporting week |
