-- Mortgage applications rose by 1.8% in the week ended April 10 as lower mortgage rates lifted refinancing activity which was partially offset by a small decline in new home applications, according to Mortgage Bankers Association data released Wednesday.
This follows a 0.8% decrease in overall activity in the week ended April 3.
Applications for refinancing loans rose by 5%, while new purchase applications fell by a seasonally adjusted 1%.
The average contract interest rate for 30-year fixed mortgages with loan balances of $832,750 or less fell to 6.42% from 6.51% in the previous week.
"This dip in rates helped to support an increase in conventional refinance applications, which had declined for five consecutive weeks," said Joel Kan, MBA's vice president and deputy chief economist. "Purchase activity remained subdued as potential homebuyers remained hesitant given the current economic uncertainty, which kept purchase applications below last year's level for the second consecutive week."