According to new figures compiled by the Mortgage Bankers Association, refinancings accounted for 83% of new business, compared to 81% the week before.
Jim Picard, vice president of home loans at Denali Alaskan Credit Union, recently told National Mortgage News that, “I have not heard of a single person holding off of a home purchase because of the possibility of the country falling off the fiscal cliff.”
During the week the average contract interest rate for a 30-year fixed-rate mortgage with conforming loan balances ($417,500 or less) declined by one basis point to 3.52%, tying the all-time low, last seen for the week of Nov. 9.
The average contract rate for a 30-year FHA-insured loan fell two basis points to 3.34%, also tying the all-time low.
Bucking the trend was the rate for 30-year FRMs with jumbo loan balances, which rose four basis points to 3.79%.
MBA says its survey covers at least 75% of all U.S. retail residential mortgage applications. It has been tracking the application market since 1990.