So much for the much anticipated housing recovery of 2014. Like Cinderella, end of the year is approaching and nothing is happening, at least in terms of residential mortgage lending.
Mortgage applications increased 2.8% from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending August 22, 2014.
The NON seasonally adjusted Purchase Index increased 0.5% from the previous week, but remain down 10.6% since the same week from last year. AND just wait for the Labor Day slump coming next week!!
The seasonally adjusted Purchase Index increased 3% from one week earlier, but still remain at pre-bubble, 1995 levels.
And if I include the decline/stagnation of American incomes (coupled with declining labor force participation, we get the Land of The Dead (Tierra de los muertos) chart.
The Refinance Index increased 3% from the previous week, but remain in The Land of the Dead as well.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) decreased to 4.28% from 4.29 percent, with points decreasing to 0.25 from 0.26 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.
Yes, the residential mortgage market remains in The Land of the Dead.