Application activity rises during shortened week
Mortgage application volume increased 7.1% for the week ending June 2, with purchase activity up 10% on a seasonally adjusted basis. This week's results included an adjustment for the Memorial Day holiday.
The unadjusted purchase index decreased 14% compared with the previous week and was 6% higher than the same week one year ago. Refinancings increased 3% on an unadjusted basis.
The refinance share of mortgage activity decreased to 42.1% of total applications from 43.2% the previous week.
Adjustable-rate mortgage applications decreased 3 basis points to 7.4%, while the Federal Housing Administration share increased 1 basis point to 10.6%.
The VA share of total applications increased 3 basis points to 11.1% and the USDA share remained unchanged at 0.8%.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,100 or less) decreased 3 basis points to 4.14%. For 30-year fixed-rate mortgages with jumbo loan balances (greater than $424,100), the average contract rate decreased 3 basis points to 4.08%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased 2 basis points to 4.01%, while for 15-year fixed-rate mortgages, the average decreased 3 basis points to 3.39%.
The average contract interest rate for 5/1 ARMs decreased to 3.19% from 3.22%.