Review Mortgage Lenders

Homebuyers Mortgage

First time Home Buyers Mortgage Program

Charles D'Alessandro of Fillmore Real Estate interviews a mortgage professional. The question is what does a first time home buyer do to ...

Weekly mortgage applications sink 4.9% as homebuyers pull back

Potential buyers might have been concerned about the Republican tax plan, which lowers the deduction for property taxes. The plan was getting a lot of attention last week, with news reports of how it could cause home values in high-cost states to drop.

"The seasonal slowdown is certainly a key factor, but it could be that some buyers wanted to see the fine print of the bill before making a commitment, and that led to a pullback," said Joel Kan, an MBA economist.

Applications to refinance a home loan, which would not be impacted by the tax bill, also fell, down 3 percent for the week, despite lower interest rates. Refinance volume is usually highly rate-sensitive.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,100 or less) decreased to 4.16 percent from 4.20 percent, with points decreasing to 0.35 from 0.39 (including the origination fee) for 80 percent loan-to-value ratio loans.

"The refinance share of applications was the highest in a year, although the refi share has risen not because refis are strong, but because purchase activity is so weak," Kan said.

As Homebuyers Turn Wary, Mortgage Applications Drop 4.9 Percent

Weekly mortgage applications slid 4.9 percent as homebuyers reportedly turned wary of making commitments.

Potential buyers might have been concerned about the Republican tax plan, which lowers the deduction for property taxes, CNBC reported.

Mortgage applications to purchase a home had their weakest showing since April, according to the Mortgage Bankers Association.

Applications are 8 percent lower than a year ago, CNBC reported.

"The seasonal slowdown is certainly a key factor, but it could be that some buyers wanted to see the fine print of the bill before making a commitment, and that led to a pullback," Joel Kan, an MBA economist, told CNBC.

Applications to refinance a home loan, which would not be impacted by the tax bill, also fell, down 3 percent for the week, despite lower interest rates, CNBC said.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,100 or less) decreased to 4.16 percent from 4.20 percent.

What are the best first time homebuyers mortgage programs today??


Lots of programs designed to assist with the goal of a home purchase.

Try a local mortgage broker, shop online such as Washington Mutual, Countrywide and make some comparisons.