The number of mortgage applications in the United States fell for a fifth straight week, led by a decline in refinancing.

According to the Mortgage Bankers Association, the group's index decreased 0.2 percent in the week of October 1, and refinancing dropped to an eight-week low. Federal Reserve Bank of New York President William Dudley said stricter lending standards are limiting home sales, as well as a near 26-year high unemployment rate. Michael Feroli, chief U.S. economist for JPMorgan Chase in New York said the housing market is "moving up a little off the bottom."

"Refinancing activity has come down a little, but it's still quite high. There is probably only a limited capacity to refinance because so many people are with negative equity on the homes," Feroli said.

A report released by the National Association of Realtors showed the number of contracts to purchase previously owned homes increased for the second month in a row. The association's index of pending home re-sales rose 4.3 percent in August.

To speak with a Maryland loan modification attorney, please contact Chaifetz & Coyle, P.C., by calling 443-546-4608.