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The Mortgage Bankers Association said that total mortgage application volume decreased 0.5 percent on a seasonally adjusted basis compared with the previous week, CNBC.com reported. Volume was 13.5 percent lower than the same week one year ago. Applications to refinance a home mortgage fell 2 percent for the week and were 28 percent lower than the same week one year ago, when interest rates were lower. The refinance share of mortgage activity decreased to 37.2 percent of total applications from 37.6 percent the previous week. More than half of all homeowners with a mortgage today have rates below 4 percent, according to CoreLogic. Home equity lines of credit are increasing as refinances decrease. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($453,100 or less) decreased to 4.79 percent last week from 4.84 percent the previous week, with points decreasing to 0.41 from 0.42 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.

The White House proposed on Thursday to move Fannie Mae and Freddie Mac out of government custody and back into the private sector, the most comprehensive statement of the administration’s preferences on housing finance reform yet, the Washington Examiner reported. The proposal, included in a broader government overhaul plan, would resemble draft legislation authored by Sen. Bob Corker (R-Tenn.) meant to attract bipartisan support. It would require Congress to act, suggesting that the Trump administration doesn’t intend to pursue a major administrative overhaul of the two-bailed out mortgage giants. It calls for allowing Fannie and Freddie to enter the private sector after being in government conservatorship since 2008. Then, they — and their competitors that might enter the market — would be given an explicit government guarantee on mortgage-backed securities that they issue.

For years, Americans could borrow against their homes to pay for a new car, college tuition, or even a trip to the Caribbean, and then deduct the interest on those loans. However, last year’s tax overhaul prohibited interest deductions for home-equity loans and home-equity lines of credit, known as Helocs, unless the funds are used for certain types of home improvements, according to a Wall Street Journal commentary. The change took effect for 2018 and will affect many people. As of March, there were 4.2 million home-equity loans with balances totaling $127 billion, and 9.3 million Helocs with loan balances totaling $419 billion, according to Equifax Inc. The prior tax law allowed homeowners to deduct interest on up to $100,000 of home-equity debt used for any purpose.

Platinum-selling rapper Lil' Kim filed for chapter 13 protection in New Jersey last month after her bank foreclosed on her gated mansion in Alpine, N.J., and the IRS said that she owes $1.47 million in back taxes, the New York Daily News reported. Court documents listed more than $4 million in secured and unsecured debts. The performer filed her petition May 8, just three days before her 6,026-square-foot property was scheduled to go on the auction block. A new listing on Auction.com that remained active Friday said the date for public bidding was rescheduled to June 28. Her filings in the case say she’s $664,474 behind on payments for the $2.3 million house and claim her gross income has dropped substantially in the last of couple years — from $823,659 in 2016 to $398,000 last year.