Mortgage applications increased last week. More buyers chose fixed-rate loans over adjustable ones. Loans with rates that change remained minimal and held the smallest share since January. The average for 30-year fixed loans fell to 6.47 percent. Overall, the 30-year loan average settled at 6.6 percent.
A new federal housing bill could help smaller loans and prefab homes. Experts say adjustable loans now pose a bigger threat. That fits with their shrinking share. Most buyers seem to prefer predictable terms as new borrowing choices grow.