For the second consecutive week, fewer applications were completed for home loans. As long-term mortgage rates climbed to a seven-year high, the jumbo-conforming spread doubled.

In the seven-day period that ended on Oct. 12, the volume of new retail residential loan applications completed dove a seasonally adjusted 7.1 percent from the preceding week, when activity was also lower.

The data is based on the Market Composite Index, which still moved lower by 7 percent from the week ended Oct. 5 even when no adjustments are made for seasonal factors.

Source: Mortgage Daily