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New Home Buyers Shied Away in June Despite Friendly Rates

Posted To: MND NewsWire

Applications for financing new home purchases slipped in June in spite of the continued easing of mortgage interest rates. The Mortgage Bankers Association (MBA) said its Builder Application Survey (BAS) shows mortgage applications for new home purchases increased 17.9 percent compared from a year ago but were down 14 percent from the previous month. This change does not include any adjustment for typical seasonal patterns. Based on survey data and assumptions regarding market coverage and other factors, MBA estimates that sales of newly constructed homes were at a seasonally adjusted annual rate of 646,000 units in June. This is down 11.1 percent from the May pace of 727,000 units. On an unadjusted basis, MBA estimates that there were 58,000 new home sales, a 5.9 percent fewer than the 69...(read more)