Demand for adjustable-rate mortgages surges, as interest rates make biggest jump in 13 years

Mortgage applications to purchase a home rose 8% last week compared with the previous week, bolstered in part by demand for adjustable-rate mortgages, according to the Mortgage Bankers Association's seasonally adjusted index. Applications were, however, 10% lower than they were in the same week one year ago.

A big jump in mortgage rates may have actually spurred homebuyer demand, perhaps as consumers worried rates would move even higher. Mortgage rates surged to the highest level since 2008, while making their biggest one-week jump last week in 13 years. Meanwhile the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances increased to 5.98% from 5.65%, with points rising to 0.77 from 0.71 for loans with a 20% down payment. Rates are now nearly double what they were one year ago."Purchase applications increased for the second straight week – driven mainly by conventional applications – and the ARM share of applications jumped back to over 10%," wrote Joel Kan, an MBA economist.

Applications to refinance a home loan fell 3% for the week and were 77% lower than the same week one year ago. The refinance share of mortgage activity decreased to 29.7% of total applications from 31.7% the previous week.

Source: Loan Digest (loandigest.net)

DianaOlick SquawkCNBC democrats have ruined this country in les than 2 years. all the blood sweat and tears from the hardworking people that came before them. gone....

United States Latest News, United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

ERCOT predicts record power demand this summerThe organization that runs the Texas power grid is forecasting one of the hottest on record. But can it meet the expected demand? Yes. Governor Abbott fixed this drama so move on with a real story! There were rolling blackouts today….so I’d say no.
Source: FOX4 - 🏆 289. / 63 Read more »

Iran to Shut Down Crypto Mining Farms Amid Record High Power Demand – Mining Bitcoin NewsAuthorities in Iran plan to unplug licensed crypto mining facilities as electricity consumption in the country is reaching record highs. Oh my! $PAW We move , you know? $PAW That doesn’t cost bitcoin anything $PAW
Source: BTCTN - 🏆 531. / 51 Read more »

Flight delays, cancellations blamed on severe weather, staff shortages, high demandAfter a chaotic weekend for air travelers, things are starting to calm down. But this could be a frequent pattern that we'll see throughout the summer. Building back better!
Source: ABC7Chicago - 🏆 284. / 63 Read more »

Fuel crisis: slash demand in three sectors to protect economies and climateGlobal dependence on Russian gas, oil and coal can be cut by 20–60% and greenhouse-gas emissions by 2.9% within one year, with the right policy support. We need political support for peace if we are to realistically try to reduce greenhouse gas emissions ... better not flirt with war propaganda ...
Source: Nature - 🏆 64. / 68 Read more »

Gold Price Forecast: XAUUSD demand in India rebounds – CommerzbankGold has fallen slightly to $1,835 on Tuesday. Economists at Commerzbank recapitulate what the Swiss Federal Customs Administration reported today. In
Source: FXStreetNews - 🏆 14. / 72 Read more »

Students demand Sri Lankan government resign over crisisSri Lanka is nearly bankrupt and has suspended repayment of $7 billion in foreign debt due this year. It must also pay back more than $5 billion every year until 2026. Its foreign reserves are near…
Source: mercnews - 🏆 88. / 68 Read more »