By Ovunc Kutlu
ISTANBUL (AA) - US mortgage applications were down last week despite falling mortgage rates, according to a report Wednesday by the Mortgage Bankers Association (MBA).
The market composite index, a measure of mortgage loan application volume, fell 0.6% on a seasonally adjusted basis for the week ending March 29. On an unadjusted basis, the index declined 0.1% compared with the previous week.
"Mortgage rates moved lower last week, but that did little to ignite overall mortgage application activity," Joel Kan, MBA’s vice president and deputy chief economist, said in a statement.
The average contract interest rate for a 30-year fixed mortgage rate was down to 6.91% last week, from 6.93% the previous week.
The average contract interest rate for 15-year fixed-rate mortgages, meanwhile, declined to 6.35% from 6.46%.
"Elevated mortgage rates continued to weigh down on home buying," added Kan.
The MBA survey covers more than 75% of US retail residential mortgage applications.