According to the Mortgage Bankers Association, mortgage applications have dropped again. People are wary of the currency economic conditions and the housing market. Additionally, the tougher lending standards in force may be intimidating to some. Bloomberg reports on the effects of the current housing market:

“Weak home sales will continue to weigh on housing starts and residential construction, while weak mortgage-equity withdrawals will weigh on consumer spending,” said Steven Wood, president of Insight Economics LLC in Danville, California.