Mortgage rates scored another all-time low this week, but even so, the volume of home sales is dropping as what might be described as a post-homebuyer tax credit malaise seems to have set in nationwide.

  • 30 year fixed rate: 4.58%
  • 15 year fixed rate: 4.04%

In spite of the low rates, buyers appear to be firmly fixed on the sidelines.

Despite the cheap credit, an index of applications for loans to finance home purchases fell 3.3% last week from the week before, the Mortgage Bankers Assn. said Wednesday.

This, when considered together with continuing high unemployment rates, is causing experts to predict another dip for home prices.

“We’ve exhausted what the government can do for the housing market,” said [George Mason University economist Anthony] Sanders, who predicts another decline in home prices. “The tax credits were the last hurrah of the stimulus.”