The adjustable-rate mortgage (ARM) share of activity continued to grow despite the downturn in overall applications, according to the latest data from the Mortgage Bankers Association (MBA).
Overall mortgage applications decreased 2.3% for the week ending April 26 as the average rate on a 30-year fixed mortgage rose to 7.29%, the highest since November 2023.
“Inflation remains stubbornly high, and this trend is convincing markets that rates, including mortgage rates, are going to stay higher for longer,” said Mike Fratantoni, senior vice president and chief economist at MBA. “No doubt, this is a headwind for the housing and mortgage markets, with the 30-year fixed mortgage rate increasing to 7.29% last week.”
Source: mpamag.com