Mortgage Applications Fall Despite Low Rates Apr 04, 2007, 11:34 am PDT
News provided by Quicken Loans
The Mortgage Bankers Association today announced that applications for mortgage loans fell 3.2 percent last week compared to the previous week.
The report stated that the Purchase Index increased 2 percent while the Refinance Index dropped 4.5 percent from the previous week.
Quicken Loans Chief Economist Bob Walters says despite this week's setback, he expects to see the potential for strengthening in the market.
"Despite long-term rates remaining near historic lows, the real estate market is still struggling to find its footing," Walters said. "With the recent turmoil in the mortgage industry, it is not a complete surprise to see some weariness from home buyers. However, as long-term rates remain near their historic lows, and the market continues to normalize, I expect to see some strengthening in mortgage applications in the coming weeks."
This article is reprinted by permission from Quicken Loans © 2007 Quicken Loans Inc. All rights reserved.