flexiblefullpage - default
Currently Reading

2017 Ended With Higher Interest Rates, Fewer Mortgage Applications

billboard - default

2017 Ended With Higher Interest Rates, Fewer Mortgage Applications

January 3, 2018
mortgage application volume drops_interest rates rise
Photo: Pixabay

Total mortgage application volume dropped 2.8 percent in the last two weeks of 2017, as optimism over the new tax bill resulted in higher interest rates. 

CNBC's Diana Olick says that overall, interest rates did not make any major moves during 2017, and not much is expected for 2018. The Federal Reserve may continue to raise its lending rates, but mortgage rates are influenced by other factors, like volatile international markets. She added that refinance volume isn't likely to increase dramatically in 2018, as many homeowners have already refinanced at record-low rates.

After jumping 9 basis points during the third week of December, the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances of $424,100 or less remained unchanged for the last week of the year at 4.25 percent, with points increasing to 0.36 from 0.35, including the origination fee, for 80 percent loan-to-value ratio loans. That was the highest rate since April.

Read more

Related Stories

Market Data + Trends

Home Builder Sentiment Is Rising for the First Time in Over a Year—Here’s Why

A slight drop in mortgage interest rates is motivating prospective buyers to jump back into the for-sale market, and that new activity is boosting home builder sentiment at the start of 2023


Experts Say This Housing Recession Will Look Far Different From the Last One—Here’s Why

The housing market is reaching its tipping point ahead of what experts say is a "more-than-likely" 2023 recession, but today's homebuying conditions are far different from the state of the market leading up to the Great Recession


What a 2023 Housing Recession Could Mean for Rental Prices

For the past two years, rental costs have skyrocketed to new highs in popular metros across the U.S. Could a housing recession bring them back to earth?

boombox1 -
native1 - default
halfpage2 -

More in Category

native2 - default
halfpage1 -

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.

Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.