Article Attachment
The attached file contains this articles commentary as well as tables and charts of the data.
Mortgage Apps: Rates Push Back Towards 7%
May 24, 2023
Bottom Line: The average 30-year fixed-rate mortgage rose sharply again last week. And the average rate edged slightly higher in the first two days of this week but was holding just below the psychologically important 7% level. Applications fell for both purchased and refis. For now, there are still tenuous signs of bottoming in both purchase and refinancing applications. However, holding below 7% on the average 30-year fixed-rate mortgage will likely prove critical, and bears close watching in the coming weeks. Rates were only above 7% for a brief time in October and early November, but it decimated mortgage activity for several months.The MBA Mortgage Application Index FELL -4.6% to 205.0, BELOW the 13-week average of 214.0 and -35.0% BELOW the year-ago level. Non-seasonally adjusted the index FELL -5.1%. The Purchase Index FELL -4.3% to 158.0, BELOW the 13-week average of 165.0 and -29.8% BELOW the year-ago level. The Refinancing Index FELL -5.4% to 443.0, BELOW the 13-week average of 463.0 and -44.3% BELOW the year-ago level. The effective (adjusted for points paid) 30-year mortgage rate ROSE 14bps to 6.88%, ABOVE the 13-week average of 6.73% and 22bps ABOVE the year-ago level. Current coupon yields in the secondary market were up 27.0 bps last week , closing at 5.47%, and were up 3.0 bps this week through Tuesday.
Article by
Contingent Macro