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Mortgage demand rises in week
The Mortgage Bankers Association of America's gauge of applications rose 5.2% last week to 1,635.5. It could be a last hurrah of home buyers and owners looking to lock in low rates as they start to move higher. Total applications are up 127.1% vs. a year ago. The refinance index rose 4.8% on the week to 8,599.1, as the gauge demand for mortgages to buy a home rose 6.6% to 438.4.
Record seen for new home sales
The National Association of Home Builders expects sales of 985,000 new single-family homes in '03, up from last year's record 973,000. Tax cuts and low rates should keep the housing market strong, the group says. The group expects construction to start on 1.7 mil homes. The 30-year fixed-rate mortgage averaged 5.3% in Q2 and will slowly rise to 5.5% in Q4.
Weekly confidence gauge slips
The ABCNews/Money magazine consumer comfort index fell 2 points to -20 last week. Of those polled, 27% say the economy is in good shape vs. 28% the prior week. Now 56% say their finances are healthy, down 2 points. Those ...