Mortgage loan apps drop to lowest levels since 1997, MBA report shows

Mortgage loan applications decreased 2.5 percent on a seasonally
adjusted basis for the week ending Nov. 13, compared to a week earlier,
according to the Mortgage Bankers Association’s weekly report ending
Nov. 13. The seasonally adjusted purchase index also dropped 4.7
percent from the prior week and is currently at its lowest level since
November 1997. The drop comes as interest rates for a 30-year fixed
rate mortgage decreased to 4.83 percent from 4.9 percent. The report
also shows that the refinance index decreased 1.4 percent
week-over-week. However, refinance shares of mortgage activity
increased to 72.9 percent of total applications, the highest share
since the week ending May 15, from 71.5 percent a week earlier. The
weekly report also indicates that interest rates for 15-year fixed-rate
mortgages and interest rates for one-year adjustable-rate mortgages
decreased slightly, .01 percent and .03 percent, respectively. TRD