U.S. mortgage demand was largely unchanged last week as borrowers pulled back from adjustable-rate mortgages, or ARMs, while elevated housing costs continued to weigh on buying activity, according to weekly data released Wednesday by the Mortgage Bankers Association.
An ARM, or adjustable-rate mortgage, typically offers a lower initial interest rate than a fixed-rate mortgage but resets to market rates after a set period, making it riskier if borrowing costs rise.
