Mortgage Purchase And Refinancing Applications Fall

The purchase index fell for a fourth straight week and down steeply, at a 6.0 percent rate which is not only the weekly change but also the yearly change as well. The report attributes the fall to "renewed uncertainty about the domestic and global economy" which it said held buyers off the market. But citing strength in the labor market, the Mortgage Bankers' Association expects purchase activity to pick up in the coming months.

Lower rates are also part of the positive outlook as the average for 30-year fixed mortgages with conforming balances ($484,350 or less) fell 4 basis points to 4.69 percent and its lowest level in nearly a year (since last March). Other details in the report include a 0.1 percent decline in the refinancing index and a 3.7 percent drop for the composite index.