Mortgage applications fell from last week as interest rates rose above 3%, with the share of refinance applications declining to its lowest level in three months.
The Mortgage Bankers Association’s Market Composite Index was down 6.9% on a seasonally adjusted basis for the week ending October 01. The finance index dropped 10% week over week, while the purchase index dipped 2% from the previous week.
“Mortgage applications to refinance dropped almost 10% last week to the lowest level in three months, as the 30-year fixed-rate increased to 3.14% – the highest since July,” said Joel Kan, associate vice president of economic and industry forecasting at MBA.