Investing.com - The number of mortgage applications in the U.S. fell for the first time in four weeks, as interest rates pushed higher, industry data showed on Wednesday.
In a report, the Mortgage Bankers Association said their mortgage market index, a measure of mortgage loan application volume, dropped by a seasonally adjusted 7.3% in the week ending September 16 to 530.8. That follows a gain of 4.2% to 572.9 in the preceding week.
Applications to refinance a home loan tanked 8% for the week, while home purchase applications, which are far less rate-sensitive week to week, fell 7% last week.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances rose to 3.7% from 3.67% in the preceding week.
"Mortgage rates increased to their highest level since June last week as comments by some Fed officials made it appear that the Federal Reserve is closer to raising rates," said Michael Fratantoni, chief economist for the MBA.
The survey covers over 75% of U.S. retail residential mortgage applications, according to MBA.