The Mortgage
Bankers Association (MBA) reported on
Wednesday that the mortgage application volume in the U.S. dropped 1.2 per cent
in the week ended February 21, following a 6.6 per cent decline in the week before.
According to
the MBA’s data, last week’s decrease in mortgage applications reflected
a 3.6 per cent plunge in mortgage refinance applications that was partly offset by a 0.2 per cent gain in mortgage
applications to purchase a home.
The report also
revealed that the average fixed 30-year mortgage rate fell from 6.93 per cent to 6.88
per cent, the lowest level in nine weeks.
Commenting on
the latest survey results, Joel Kan, MBA’s vice president and deputy chief
economist, said that the U.S. treasury yields moved lower on softer consumer
spending data as consumers are feeling somewhat less upbeat about the economy
and job market. “This pushed mortgage rates lower,” he added.