Despite a steady decline in mortgage interest rates, mortgage applications for home purchase had dropped to a five-month low by the end of July. The recent drop in the 10-year Treasury yield means mortgage rates have further to fall, but tightening lending standards, a lack of inventory and concerns around the economic outlook argue against a significant rise in home purchase demand.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services