New drop in mortgage rates arrives just in time to perk up ho-hum borrowing

Seasonal factors and a minor rise in mortgage rates teamed up last week to drive both homeowners and prospective buyers from the mortgage market, according to new data collected before regulators tossed out a fee on refinance loans — and sent rates tumbling.

Ahead of that news, demand for both refinance and purchase mortgages fell, a weekly survey from a top lenders trade group shows.

Borrowers who were holding out have now been rewarded with cheaper mortgage rates that can save them a great deal of money.

Mortgage applications fell while rates were still rising

Dmitry Demidovich/Shutterstock

Last week, the average for a 30-year fixed-rate mortgage — the most commonly held mortgage product in the U.S. —

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