Mortgage activity ground to a halt last week as rates surged to their highest levels in seven years.

Applications for both refinancing and purchase mortgages nosedived, according to the Mortgage Bankers Association.

Refinance applications fell a whopping 37% from the previous week, while applications to purchase a home tumbled 9%.

The surge in rates appears to be driven by a variety of factors, including rising inflation expectations and the ongoing sell-off in the bond market.

The average rate for a 30-year fixed mortgage jumped to 4.86% last week, up from 4.54% the previous week.

Rates are still relatively low by historical standards, but they are rising quickly and could scare off potential homebuyers.

-Mortgage applications are at their lowest level since 1996
-Last week, refinance applications fell 37% and purchase applications fell 9%
-Rates are rising quickly, spurred by inflation expectations and the bond market sell-off
-The average rate for a 30-year fixed mortgage is now 4.86%

You can read this full article at: required)

Note Servicing Center provides professional, fully compliant loan servicing for private mortgage investors so they can avoid the aggravation of servicing their own loans and just relax and get paid. Contact us today for more information.