Mortgage rates

Servicers saw their retention rate fall to the second-lowest level in 17 years, according to ICE Mortgage Technology.

Recent rate movements have failed to result in significant purchase growth, but refinances are providing lenders some lift.

About 85% of U.S. homeowners have interest rates below 6%, while a little over 50% of homeowners have a rate below 4%, Redfin's report said.

The Federal Reserve Chair's words were enough to send Treasury yields and the dollar lower and stocks higher on Friday as investors perceived a green light to take on risk. 

Two Federal Reserve officials said they believe it's appropriate for the U.S. central bank to begin lowering interest rates soon, and that the pace of subsequent cutting should be "gradual" and "methodical."

The 30-year fixed rate mortgage is lingering just shy of 6.5% level, which is not low enough to bring home purchasers back into the market, observers said.

Industry economists are now confident about predictions for mortgage rate movements through the end of next year; the question is if that translates to increased home sales.

Purchase applications last week fell to their lowest level since February, the Mortgage Bankers Association reported.

While other indicators all reported the 30-year fixed rate mortgage was lower on a week-to-week basis, Freddie Mac's survey increased for the first time in three weeks

Mortgage rates, already easing, should keep falling as inflationary pressure cools during the rest of the year, but a pair of wild cards could upset the prediction.