Its that time of year for mortgage purchases applications! Purchase applications usually decline during December and start to rise after the beginning of the year.
Mortgage purchase applications (white line) dropped -30.4% from the previous week, not usual for December. But what is surprising is the drop in REFINANCING applications: down -40.3% from the previous week.
30-year mortgage rates rose 2.16% from the previous week.
But between Omicron (or as the French say, “Oh! Macron!”) and The Federal Reserve, there is a good chance that mortgage rates will fall this week putting a quick end to refi application plunge.
Purchase applications? Nope, it is that time of the season when purchase applications drop like a rock.