The average rate for a 30-year fixed rate mortgage climbed to 4.01 percent, while the number of applications for purchases dropped by 3 percent, according to the Mortgage Bankers Association (MBA) which publishes the results of a weekly applications survey on Thursday.
Overall, rates have risen steadily for the past few weeks. The latest data shows that the average rate for a 30 year fixed rate mortgage (from FHA and conforming GSE data) rose again climbing 3 basis points to 4.01 percent since last week while the purchase application volume decreased 3 percent and the refinance application volume decreased 3 percent over the same period.
Meanwhile, rates have been steadily increasing for the past few weeks seemingly correlated with the Feds recent suggestion that they may start to wind down GSE purchases later this year. Only time will tell if this is a trend or simply an aberration.
