State of the Housing Market Report
The weekly survey on US mortgage rates was released Thursday by mortgage giant Freddie Mac, who has conducted the survey tracking loan rates since 1971. The survey showed a second consecutive weekly rise for mortgage rates on the heels of two months of weekly declines.
The average rate for a 30-year fixed-rate rose from 4.35 percent last week to 4.37 percent for the week ending today. The average rate for a 15-year fixed-rate, Freddie Mac reported, was 3.82 percent. The recent rises in rates followed a two month period when new record lows were reached weekly.
The ultra-low interest rates which have remained under the 5 percent mark since May, have seemingly done little to spark demand in the market which has waned since the April 30th expiration of federal tax credits for homebuyers.
In other mortgage news, new applications for home financing fell nearly 9 percent for the week ending September 10th, according to the Mortgage Bankers Association. Applications for refinancing, which had more than doubled since the April tax credit deadline, fell by 11 percent. Purchase applications also dropped, by .04 percent.
Sales of existing homes, meanwhile, fell 27 percent in July to the lowest annual pace on record, according to the National Association of Realtors. The Commerce Department, meanwhile, reported new home sales were down 12 percent for the same month.
RealtyTrac, Inc. reported today that bank repossessions reached a record high in August among records that date back to 2005. There were a total of 95,365 foreclosures for the month, up 25 percent from a year earlier and the most ever reported by the Irvine, California based company.