The drop seems to line up with the latest consumer sentiment survey from Fannie Mae, which found that the percentage of consumers who think it’s a good time to buy a house tied its all-time low last month.
The MBA’s market composite index, which measures loan application volume, dropped 7.2% on a seasonally adjusted basis last week. On an unadjusted basis, the index was down 17% from the previous week. The Refinance Index plummeted 11% from the previous week, hitting its lowest level since November of 2008.
Rates for conforming 30-year fixed-rate mortgages, meanwhile, saw their first increase in four weeks, rising from 4.25% to 4.27%. The average rate for 5/1 adjustable-rate mortgages was down, dropping to 3.12% from the previous week’s 3.19%.
Mortgage applications plummeted last week, dropping 7.2% from the week earlier, according to new data from the Mortgage Bankers Association. Refinances hit their lowest level since 2008.