Mortgage rates remain at record lows, but that might not be enough to overcome the problems of low supply and tightened credit standards across the industry.
After 5 consecutive weeks of increases, homebuyers mortgage demand fell by 3%, but was still 18% higher than the previous week.
Short supply of existing homes, especially affordable housing, along with stricter credit standards for those looking to get a mortgage could be major contributing factors to the decrease.
“Economist Mark Zandi said that the housing market should “cool off” later this year. The sector will weaken as some of the government aid and regulations used to support the economy expire.”