Mortgage Rates Fall, Homebuyer Demand Rises in the US

US 30-year fixed mortgage rates have dropped for the fifth consecutive week to a two-month low, boosting demand for homebuying. The contract rate fell 10 basis points to 6.3% in the period ended April 7, according to the Mortgage Bankers Association. However, borrowing costs remain high and housing inventory is limited, which has kept a lid on homebuying activity. The MBA's index of refinancing applications ticked up 0.1%, while the overall gauge of mortgage applications rose to the highest since early February.