Applications for both new and refinanced mortgage loans continue to drop, according to the Mortgage Bankers Association.
The association's weekly Mortgage Applications Survey for the week ending Sept. 6, which included an adjustment for the Labor Day holiday, found that overall applications for housing finance loans decreased 13.5% on a seasonally adjusted basis from one week earlier.
When not adjusted, application volume decreased 23% compared with the previous week, the MBA reported.
The weekly survey covers roughly 75% of mortgage applications made, the association said.
The volume of refinance housing finance loan applications dropped even more sharply, moving down 20% from the previous week. An index the MBA uses to track refinance applications has plunged 71% from its peak in the week of May 3 and stands at its lowest level since June 2009, the association added.
The MBA also reported that applications to refinance existing housing finance loans moved from 61% of the total mortgage applications in the previous week to 57% in the week ending Sept. 3, the lowest percentage since April 2010.