Mortgage applications decreased 3.3% from
On an unadjusted basis, the MBA’s Market Composite Index—a measure of mortgage loan application volume—decreased 4% week-to-week. The Refinance Index fell 3% from the previous week. The seasonally adjusted Purchase Index also declined 3% from one week earlier, and the unadjusted Purchase Index decreased 4% compared with the previous week. However, it was 12% higher than the same week one year ago.
The refinance share of mortgage activity was unchanged at 69% of total applications from the previous week. The adjustable-rate mortgage share of activity also was unchanged at 7% of total applications. The government share of purchase applications has been at 29% for the past two weeks, which is the lowest level in the history of this series. The share of refinance applications done through the Home Affordable Refinance Program increased to 31% from 29% the week prior.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,500 or less) increased to 4.17%, the highest rate since March 2012, from 4.15%,with points decreasing to 0.41 of a point from 0.48 of a point (including the origination fee) for 80% loan-to-value ratio loans. According to the MBA, this is the sixth straight weekly increase for this rate.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,500) decreased to 4.23% from 4.25%,with points increasing to 0.34 of a point from 0.32 of a point (including the origination fee) for 80% LTV loans.
The average contract interest rate for 30-year fixed-rate mortgages backed by the Federal Housing Administration increased to 3.85%, the highest rate since April 2012, from 3.81%,with points decreasing to 0.22 of a point from 0.26 of a point (including the origination fee) for 80% LTV loans.
The average contract interest rate for 15-year FRMs decreased to 3.30% from 3.32%, with points increasing to 0.39 of a point from 0.38 of a point (including the origination fee) for 80% LTV loans.
The average contract interest rate for 5/1 ARMs increased to 2.81%, the highest rate since June 2012, from 2.78%,with points increasing to 0.35 of a point from 0.30 of a point (including the origination fee) for 80% LTV loans.
According to the MBA, the survey covers over 75% of all U.S. retail residential mortgage applications, and has been conducted weekly since 1990. Respondents include mortgage bankers, commercial banks and thrifts.
