Mortgage demand falls to the lowest level since 1995 as interest rates near 8%

Mortgage demand has fallen to its lowest level since 1995 according to the Mortgage Bankers Association of America (MBA). This decline is due to the rising interest rates that recently hit close to 8%. The higher rates have made it more expensive for homeowners to buy or refinance their mortgages, and have effectively lowered the amount of new mortgages being taken out. The MBA notes a 22% decrease in mortgage applications compared to the same time last year, as homebuyers have been cautious about the high cost and uncertain economic environment.