Connect with us

Business

US mortgage rates climb to their highest level in 6 months -MBA

Published

on

 


New townhouses are seen in a subdivision with other neighboring homes under construction in Tampa, Florida, United States on May 5, 2021. REUTERS / Octavio Jones

October 20 (Reuters) – Interest rates on America’s most popular type of home loan hit a six-month high last week, as global rates continued to rise amid high inflation and expectations according to which central banks will move further away from their easy money policies of the pandemic era.

The contract rate on a 30-year fixed-rate mortgage climbed to 3.23% in the week ending Oct. 15, from 3.18% the week before, the Mortgage Bankers Association reported on Wednesday in its report. weekly survey of US home loan market conditions. This is the highest level since the beginning of April and it is up more than a quarter of a percentage point since the end of July.

The rate hike helped push the overall volume of mortgage applications down 6.3% to the lowest since July, driven by a 7.1% drop in refinancing applications, the MBA said. Refinancing request volumes are also at their lowest since July, slightly above their lowest levels since early 2020.

Home purchase loan applications fell 4.9% to their lowest since early September.

Reuters Charts

“Purchasing activity has declined and was 12% lower than a year ago,” said Joel Kan, associate vice president of economic and industrial forecasting at the MBA. “Insufficient supply of housing and high growth in house prices continue to limit options for potential buyers.”

How quickly this situation is resolved remains the great unknown in the US residential real estate market. On Tuesday, the Commerce Department announced that U.S. housing construction fell unexpectedly in September and residential building permits fell to their lowest level in a year amid acute shortages of raw materials. and labor. Read more

Meanwhile, global interest rates continue to climb as central banks like the U.S. Federal Reserve signal that the days of crisis-era accommodation are drawing to a close as inflation rates reach their peak. high level for decades due to bottlenecks and labor shortages.

The Fed is expected to broadly announce at its next meeting in two weeks that it intends to start reducing its $ 120 billion per month purchases of US Treasuries and mortgage-backed securities as a first step towards policy normalization. .

The yield on the 10-year U.S. Treasury bill, the most influential benchmark in determining mortgage interest rates, reached its highest level since May on Wednesday and climbed nearly half a percentage point since the end of July.

Reporting by Dan Burns; Editing by Andrea Ricci

Our standards: Thomson Reuters Trust Principles.

Sources

1/ https://Google.com/

2/ https://www.reuters.com/world/us/us-mortgage-rates-surge-6-month-high-mba-2021-10-20/

The mention sources can contact us to remove/changing this article

What Are The Main Benefits Of Comparing Car Insurance Quotes Online

LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos

ExBUlletin

to request, modification Contact us at Here or [email protected]