Houses in San Jose, California, on Wednesday, Feb. 7, 2024. Buyers are rushing to take advantage of a recent dip in mortgage rates, and they’re flush from a yearlong rally in Big Tech stocks fueled by AI exuberance.
Houses in San Jose, California, on Wednesday, Feb. 7, 2024. Buyers are rushing to take advantage of a recent dip in mortgage rates, and they’re flush from a yearlong rally in Big Tech stocks fueled by AI exuberance.
US mortgage rates rose last week to a two-month high, reversing some of the momentum in the nation’s housing recovery.
The contract rate on a 30-year fixed mortgage increased 7 basis points in the week ended Feb. 9 to 6.87%, the highest since early December, according to Mortgage Bankers Association data released Wednesday.
The MBA’s index of applications for home-purchase mortgages fell 2.5% to 149.6, a five-week low. In January, the gauge reached the highest level since April, but has declined in each of the last three weeks.
Meantime, the MBA’s overall index for mortgage applications, which tracks both home purchases and refinancing, slipped 2.3% last week. The MBA’s index for refinancing fell 2.1%.
The MBA survey uses responses from mortgage bankers, commercial banks and thrifts and has been conducted weekly since 1990. The data cover more than 75% of all retail residential mortgage applications in the US.
