Mortgage rates declined in each week of August to reach 4.06%, a 10-month low. But while that spurred an 8.8% m/m rise in refinance applications, mortgage applications for home purchase dropped for the second consecutive month. A lack of affordable inventory is behind the drop in mortgage demand, as buyers have stayed away until the choice of homes on the market improves.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services