US Mortgage Applications Dip 0.5% as 30-Year Rate Ticks Higher

US mortgage demand eased for a second straight week, with the Mortgage Bankers Association’s composite index slipping 0.5% in the period ended Aug. 22, a smaller decline than the prior week’s 1.4% drop. The 30-year fixed contract rate edged up one basis point to 6.69%, keeping borrowing costs near their highest levels since early July. Applications to purchase homes rose to the strongest level in three weeks, lifting the purchase index to 163.8 from 160.3, while refinancing activity fell for a third week, pushing the refinance index down to 894.1 from 926.1. The figures suggest potential buyers are still sensitive to modest rate moves, while existing homeowners remain reluctant to refinance at current levels. The market composite index, a broader measure of application volume, slipped to 275.8 from 277.1.