HONG KONG ECONOMIC TIDE (Oct 8) — The Mortgage Bankers Association (MBA) in the United States reported that, for the week ending October 2, the average interest rate on 30-year fixed-rate mortgages rose 19 basis points week-on-week to 7.49%, the highest level since November 2023, marking the seventh consecutive weekly increase; the cumulative increase over the past three weeks is approximately 0.5 percentage points, the fastest pace since early 2023.
The sharp rise in interest rates has dampened borrowing demand. The MBA's Mortgage Applications Index fell 4.2% week-on-week, with purchase applications down 2% and refinancing applications down 8%. Analysts noted that elevated borrowing costs have made both potential homebuyers and existing homeowners more cautious, keeping housing market demand under continued pressure. (kk)
The sharp rise in interest rates has dampened borrowing demand. The MBA's Mortgage Applications Index fell 4.2% week-on-week, with purchase applications down 2% and refinancing applications down 8%. Analysts noted that elevated borrowing costs have made both potential homebuyers and existing homeowners more cautious, keeping housing market demand under continued pressure. (kk)
