Applications Drop

The Market Composite Index, an overall measure of mortgage applications, fell from 1063.5 to 822.8 on a seasonally adjusted basis during the week ended Feb. 15, according to the Mortgage Bankers Association's Weekly Mortgage Applications Survey. On an unadjusted basis, applications decreased 21.2% on the week but were up 33.9% from the level recorded a year earlier. The Purchase Index fell from 403.9 to 357.6 on a seasonally adjusted basis, while the Refinance Index declined from 4901.5 to 3533.8. Refinancings represented 61.7% of total applications, down from 67.4% the previous week, while adjustable-rate mortgages accounted for 12.8%, the MBA said. The average contract interest rate for 30-year fixed-rate mortgages rose from 5.72% to 6.09%, and points (including the origination fee) fell from 1.15 to 1.10 for loans with 80% loan-to-value ratios, the association reported. The MBA can be found online at http://www.mortgagebankers.org.