Applications Increase

The Market Composite Index, an overall measure of mortgage applications, rose from 562.1 to 588.0 on a seasonally adjusted basis during the week ended May 12, according to the Mortgage Bankers Association's Weekly Mortgage Applications Survey.On an unadjusted basis, applications jumped 4.8% on the week and were down 14.7% from the level recorded a year earlier. The Purchase Index increased from 416.5 to 426.7 on a seasonally adjusted basis, while the Refinance Index rose from 1427.4 to 1546.8. Refinancings represented 35.0% of total applications, up from 33.8% the previous week, while adjustable-rate mortgages accounted for 29.9%, the MBA said. The average contract interest rate for 30-year fixed-rate mortgages increased from 6.61% to 6.66%, and points (including the origination fee) rose from 1.14 to 1.17 for loans with 80% loan-to-value ratios, the association reported.