Tag Archives: U.S. Bureau of Labor Statistics (BLS)

Not since spring of 2002 have fixed-rate mortgages been as high as they were reported this week, and when combined with mortgage app volume sliding for the fourth straight week, affordability headwinds continue to impact housing demand.

Nearing levels last recorded in November 2022, Freddie Mac reports the fixed-rate mortgage rose 15 basis points week-over-week and edged closer to the 7%-mark.

Despite mortgage rates reaching their highest levels since November 2022, overall app volume rose week-over-week, led by an increase in both FHA and VA purchase applications.

“The pandemic triggered a great rebalancing of affordability,” said Taylor Marr, Redfin’s Deputy Chief Economist.

Zillow found that over the course of 2021, the gains most homeowners realized amounted to much more than the median income for the associated areas.

Despite overall mortgage app volume on the upswing to begin 2022, the rise in rates has dropped conventional refis to their lowest levels since January 2020.

"You can’t buy what’s not for sale, even if your buying power says you can afford it,” notes First American Chief Economist Mark Fleming on the latest potential existing-home sales report.

After a slight uptick last week, mortgage application volume fell this week, as rates began to rise and fear over rising COIVD cases overshadowed strong jobs reports.

With rates continuing to linger below the 3% mark and job growth showing prolonged gains, mortgage applications are picking up steam, led by a high in refi volume not seen since February.