Mortgage applications tumble as interest rates climb

Rates on home mortgages climbed this past week, causing mortgage applications to plummet, according to HousingPredictor.com.

The average rate on a fixed 30-year mortgage climbed to 4.46%, showing that the foreclosure moratoriums enacted by major lenders are affecting the housing market. Applications, in turn, fell 14.4%, and refinancing dropped even further, declining 16.5% from the previous week. Rates on fixed 15-year mortgages also rose.

The increases in both types of mortgages likely means the rates will continue to climb higher.