The refinance share of mortgage activity accounted for about half of all applications.
“Mortgage applications were down last week, even as rates moved lower across the board,” Joel Kan, MBA’s associate vice president of economic and industry forecasting, said in a statement.
“Refinance activity was lower, but we did see government refinance applications increase, driven solely by a 12 percent rise in FHA applications,” he added. “Mortgage rates right now are comparable to the average rate of 4.10 percent for June, but refinances last week were 7 percent lower than last month. This is an indication that as we see rates lower for longer, borrowers need more of a drop in rates to consider refinancing.”