Mortgage applications fall in latest week: MBA

NEW YORK Wed Jul 30, 2014 7:19am EDT

A ''Price Reduced'' sign is displayed on a home for sale in northern Virginia suburb of Vienna, outside Washington, October 27, 2010.  REUTERS/Larry Downing

A ''Price Reduced'' sign is displayed on a home for sale in northern Virginia suburb of Vienna, outside Washington, October 27, 2010.

Credit: Reuters/Larry Downing

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NEW YORK (Reuters) - Applications for U.S. home mortgages slipped last week as refinancing applications dropped, an industry group said on Wednesday.

The Mortgage Bankers Association said its seasonally adjusted index of mortgage application activity, which includes both refinancing and home purchase demand, fell 2.2 percent in the week ended July 25.

The MBA's seasonally adjusted index of refinancing applications fell 4.0 percent, while the gauge of loan requests for home purchases, a leading indicator of home sales, rose 0.2 percent.

Fixed 30-year mortgage rates averaged 4.33 percent in the week, unchanged from the week before.

The survey covers over 75 percent of U.S. retail residential mortgage applications, according to MBA.

(Reporting by Caroline Valetkevitch; Editing by Diane Craft)

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Comments (2)
JustProduce wrote:
Misallocation of capital due to poor capital returns pushed private equity to securitize rents. To accomplish this, companies like BlackRock bought so many existing homes that they pushed prices higher. But such is not a market. There were no other buyers behind. As a result, builders did not invest. The signs have been there since the beginning. But politicians love to paint everything rosy or blame the weather.
Thanks big O for the lackluster economy.

Jul 30, 2014 7:33am EDT  --  Report as abuse
JustProduce wrote:
Misallocation of capital due to poor capital returns pushed private equity to securitize rents. To accomplish this, companies like BlackRock bought so many existing homes that they pushed prices higher. But such is not a market. There were no other buyers behind. As a result, builders did not invest. The signs have been there since the beginning. But politicians love to paint everything rosy or blame the weather.
Thanks big O for the lackluster economy.

Jul 30, 2014 7:33am EDT  --  Report as abuse
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