Mortgage loan application volume decreased 0.8% last week compared with the prior week, after adjusting for the Thanksgiving holiday, according to the Mortgage Bankers Association.
The average interest rate for 30-year fixed-rate mortgages with loan balances $647,200 or less decreased to 6.49 percent from 6.67 percent.
New mortgage applications to purchase a home increased 4% from the previous week, but demand was still 41% lower than the same week last year.
“The economy here and abroad is weakening, which should lead to slower inflation and allow the Fed to slow the pace of rate hikes,” said MBA economist Joel Kan.
“Purchase activity increased slightly after adjusting for the Thanksgiving holiday, but the decline in rates was still not enough to bring back refinance activity,” Kan said.
