Hurt by rising interest rates, mortgage loan applications tumbled 10.5% last week from the previous week and was 20.5% below the year-earlier level, according to the regular weekly survey of the Mortgage Bankers Association of America.
The mortgage refinance sector was hit particularly hard, with applications down 12.3% from a week earlier, 26% from a month earlier, and 56.2% from a year earlier.
The average contract rate for a 30-year, fixed-rate mortgage with an 80% loan-to-value ratio was 7.58%, down from 7.75% the previous week, but up from 7.27% a month earlier and 6.95% a year earlier. Average points, including the origination fee, rose to 1.17, from 1.05.
The average rate for a one-year adjustable mortgage was 6.21%, down from 6.27% the previous week, but points rose to 1.08, from 1.05.