According to the Mortgage Bankers Association's seasonally adjusted report, total mortgage application volume decreased 3.3 percent in the last week of March 2018 over the previous week. Experts suggest homebuyers are taking pause due to recent stock market fluctuations.
Mike Fratantoni, chief economist for the MBA, suggests that the available inventory of for-sale homes is the biggest X factor going into the spring homebuying season, which experts predict will be hot, CNBC reports. "Our latest inventory data tells us buyers are out in full force this spring. Never in history have there been more eyes on fewer homes than today," said Javier Vivas, director of research at Realtor.com.
Despite interest rates holding at their lowest level in two months, mortgage applications to purchase a home fell 2 percent for the week, the first decrease in a month. They were still 5 percent higher than a year ago. "Potential homebuyers may be a little rattled by the swings in the stock market the past few weeks, but the job market continues to strengthen, which should power demand through the spring season," said Fratantoni.
