Mortgage demand crashed last week, despite a decline in interest rate hikes and a stronger start to the year in January.
Total mortgage application volume tumbled 9 percent for the week ending Jan. 27, compared with the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index on Feb. 1.
“Mortgage rates declined for the fourth straight week and have now fallen almost 40 basis points over the past month. Treasury yields were higher on average last week, while mortgage rates decreased, which was a sign of a narrowing spread between the two,” said MBA’s Vice President and Deputy Chief Economist Joel Kan….