US mortgage rates drop below 7% for first time since March

The drop in mortgage rates is spurring back-to-back increases in financing applications for home purchases. —Bloomberg

WASHINGTON: US mortgage rates declined below 7% last week for the first time since March, spurring back-to-back increases in financing applications for home purchases.

The contract rate on a 30-year fixed mortgage decreased eight basis points to 6.94% in the week ended June 14, according to Mortgage Bankers Association latest data.