The market share of mortgage applications submitted for refinancings hit an eight-year low as total activity decreased 2% from one week earlier, according to the Mortgage Bankers Association.
The MBA's Weekly Mortgage Applications Survey for the week ending Feb. 17 found that the refinance index decreased 1% from the previous week.
The refinance share of mortgage activity decreased to 46.2% of total applications, the lowest level since November 2008,
The seasonally adjusted purchase index decreased 3% from one week earlier, while the unadjusted purchase index increased 2% compared with the previous week and was 10% higher than the same week one year ago which included the President's Day holiday.
The adjustable-rate mortgage share of activity decreased to 7.3% from 7.5%, while the Federal Housing Administration share decreased to 11.6% from 11.9% from the week prior.
The VA share of total applications increased to 12.1% from 11.8% and the USDA share decreased to 0.9% from 1%.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,100 or less) increased 4 basis points to 4.36%. For 30-year fixed-rate mortgages with jumbo loan balances (greater than $424,100), the average contract rate increased 1 basis point to 4.29%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased 2 basis points to 4.14%, while for 15-year fixed-rate mortgages backed by the FHA, the average increased 1 basis point to 3.56%.
The average contract interest rate for 5/1 ARMs decreased to 3.31% from 3.34%.
