The Mortgage Bankers Association recently reported that mortgage applications for United States home purchases fell to a 13 1/2-year low in mid-July. The continuous drop in applications coincides with the conclusion of the home buyer tax credit in April that offered homebuyers up to $8,000 in tax credits.
With the tax credit ending, the number of applications for a mortgage loan abruptly dropped. According to recent reports, applications are not the only area of housing that has suffered. New home sales also sank to record lows in May 2010 (Wall Street Journal).
Related Mortgage Rates Articles
- Bank of America & Wells Fargo Offering Short Sales Cash Incentives to Avoid Foreclosure Rise
- Wells Fargo Foreclosure Deal to Offer $26 Billion in Relief
- JPMorgan Chase & Wells Fargo Foreclosure Deal Deadline Leaves Settlement Uncertain
- Fannie Mae’s Foreclosure Rental Program Could Save Housing Market