Applications
for mortgage refinancings are off almost 57
percent from last years peak reached in January,
according to
the Mortgage Bankers Association. The average
rate on a typical
30-year home loan fell to 4.75 percent last week,
down from 5.3
percent in April, the group said June 22.
Tougher
Underwriting
Refinancings
are being suppressed because more than 23
percent of homeowners with mortgages owe more than
their houses
are worth, according to Seattle-based Zillow.com.
Borrowers also
face tougher underwriting standards at lenders
selling debt to
Fannie Mae and Freddie Mac, said Tad
Rivelle, head of fixed-
income investments at Los Angeles-based TCW Group
Inc., with
$115 billion in assets under management.
