NEW YORK, July 6 (Reuters) - Applications for U.S. home mortgages ticked up in the latest week as interest rates on 30-year fixed-rate mortgages rose to the highest level since May, according to industry data released on Thursday.
The seasonally adjusted index of mortgage activity for home purchases, a leading indicator of home sales, rose 1.4 percent in the week ended June 30, according to the Mortgage Bankers Association.
The average rate on “conforming” 30-year fixed-rate mortgages, for loans with balances that are $424,100 or less, rose to 4.20 percent from 4.13 percent the previous week. It marked the first increase in mortgage rates since late April, and came as benchmark U.S. 10-year Treasury note yields rose.
The seasonally adjusted index on mortgage applications for refinancing fell 0.4 percent from the previous week, its second straight drop. Applications for mortgages for home purchases, meanwhile, rose 3.1 percent from the previous week, its first rise in four weeks.
Reporting by Kimberly Chin; Editing by Dan Grebler