The average Freddie Mac survey rate for a 30-year mortgage dropped 12 basis points to 4.76% during the week ending March 17 in response to downward pressure on bond yields stemming from the Japanese crisis.
Moreover, anecdotal evidence suggest that lenders are beginning to see an uptick in all application types.
The 15-year rate during the same week hit a low not seen since December at 3.97%. This was down from 4.15% the previous week and 4.33% a year ago. The 30-year rate was 4.96% a year ago. During the most recent week, 30- and 15-year mortgages had an average of 0.7 of a point.
Shorter-term rates also slid during the week ending March 17. The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.57% with an average 0.6 of a point, down from 3.73% the previous week and 4.09% a year ago. The average one-year Treasury ARM rate during the most recent week was 3.17% with an average 0.6 of a point, down from 3.21% the previous week and 4.12% a year ago.
Meanwhile, according to the Mortgage Bankers Association's application index (which covers a period roughly a week earlier than Freddie's survey), overall apps on a seasonally adjusted basis saw a 0.7% drop week-to-week but the seasonally-adjusted four-week moving average was up 4.9%. On an unadjusted basis during the week ending March 11, applications fell 0.5%.
During the week ending March 11, the MBA index pegged refi apps at a high not seen since December 2010, rising 0.9% to represent 66.4% of total applications from 65.5% the week previous.
The MBA's seasonally adjusted purchase index during the week ending March 11 was down 4% and down 3.2% on an unadjusted basis.
Compared to a year ago on an unadjusted basis the purchase index was 15.5% lower. The seasonally adjusted four-week moving average for purchases was up 1.6% compared to a gain of 6.6% in the four-week moving average for refi apps.
