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Amid rapidly rising long-term mortgage rates, rate foreclosure activity fell in April, reflecting home affordability concerns, according to the Black Knight Origins Market Watch report.

Specifically, rate lock volumes fell 20% M/M in April, driven by a further sharp drop of 50% in rate/term refinance activity in the wake of a steep rate environment. rising interest, Black Knight pointed out.

“Seen in light of such rapid and sharp increases in 30-year rates, April’s decline in rate lock activity – while invigorating – is hardly surprising, Black Knight said. It is particularly true for refinance lockups when half of all mortgage holders have current lien rates below 3.5%.That being said, while purchase lockouts have come down somewhat from March, they were flat compared to last April, reflecting steady and resilient demand from homebuyers,” he added.

Additionally, withdrawal refi locks fell 40% in April as homeowners seek alternatives “to access workable equity without sacrificing historically low prime mortgage rates,” Black Knight said. And the refi rate/term fell another 15.4% last month.

Mortgage Agents: New Residential (NRZ), Ocwen Financial (OCN), Mr. Cooper (COOP) and PennyMac Financial (PFSI)

Mortgage REITs: Annaly Capital (NLY), AGNC Investment (AGNC), Chimera (CIM), New York Mortgage Trust (NYMT) and MFA Financial (MFA).

Previously (May 5) mortgage rates continued to rise after the previous week’s flat rates.