MBA: Mortgage Application Volume Fell 3.2%

Posted by Patrick Barnard on November 25, 2015 No Comments
Categories : Residential Mortgage

After increasing 6.2% the previous week, mortgage application volume fell 3.2% during the week ended Nov. 20, according to the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.

Applications for refinances decreased 5%, while applications for purchases decreased 1%.

The MBA took into account the Veterans Day holiday in adjusting its figures.

On an unadjusted basis, purchase volume increased 5% and total volume increased 6% compared with the previous week.

Purchase volume was 24% higher compared with the same week one year earlier.

The refinance share of mortgage activity increased to 58.7% of total applications from 58.6% the previous week.

The increase in applications for refinances can be attributed to the decrease in mortgage rates. For the week ended Nov. 20, the average rate for a 30-year fixed-rate mortgage (FRM) with conforming loan balance ($417,000 or less) was 4.14%, down from 4.18% the previous week.

The average rate for a 30-year FRM with jumbo loan balance (greater than $417,000) was 3.99%, down from 4.05%.

The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) was 3.87%, down from 3.90%.

The average rate for a 15-year FRM was 3.39%, down from 3.40%.

The average rate for a 5/1 adjustable-rate mortgage (ARM) was 3.19%, up from 3.18%.

The ARM share of activity increased to 6.4% of total applications.

The average loan size for purchase applications reached a survey high at $303, 600.

Looking at volume by loan type, the FHA share was 13.7% of all applications – down from 14.4% the week prior. The Veterans Affairs share was 11.0%, down from 11.7% the week prior. The U.S. Department of Agriculture share of total applications remained unchanged at 0.7%.

All rates are based on closings. The survey covers about 75% of the U.S. mortgage market.

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MBA: Mortgage Application Volume Fell 3.2%

Posted by Patrick Barnard on January 28, 2015 No Comments
Categories : Residential Mortgage

After increasing dramatically the previous two weeks, mortgage application volume fell 3.2% on an adjusted basis during the week ended Jan. 23, compared to the previous week, according to the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.

The results include an adjustment to account for the Martin Luther King holiday.

On an unadjusted basis, volume fell 12% compared with the previous week.

Applications for refinances were down 5% while applications for purchases were down 0.1%.

On an unadjusted basis, applications for purchases decreased 4% compared with the previous week and were 1% higher compared to the same week one year ago.

The refinance share of mortgage activity fell to 72% of total applications from 74% the previous week.

The average rate for a 30-year fixed-rate mortgage (FRM) with conforming loan balance ($417,000 or less) was 3.83%, up from 3.80% the previous week.

The average rate for a 30-year FRM with jumbo loan balance (greater than $417,000) was 3.87%, up slightly from 3.86% the week prior.

The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) was 3.71%, up from 3.66%.

The average rate for a 15-year FRM was 3.15%, up from 3.10%.

The average rate for a 5/1 adjustable-rate mortgage (ARM) was 2.96%, up from 2.87% the previous week.

The ARM share of activity decreased to 5.7% of total applications.

Looking at application volume by loan type, applications for mortgages backed by the FHA represented 9.1% of all applications, up from 8.0% the previous week. Applications for Veterans Affairs mortgages represented 10.7% of all loans, up from 9.4% the previous week. Applications for mortgages through the U.S. Department of Agriculture increased to 0.7% of all applications, up from 0.6% the previous week.

The seasonally adjusted Government Index increased 9.2% from the previous week to the highest level since July 2013 – perhaps due to an uptick in applications for FHA-backed loans resulting from the recent cut in FHA insurance premiums.

Due to a revised data submission, the MBA downwardly revised the results for the weeks ended Jan. 9 and Jan. 16.

The seasonally adjusted market index for the week ended Jan. 9 increased 46.7% rather than the 49.1% originally reported. Applications for purchases increased 21.2% that week, rather than the 23.6% reported. Applications for refinances increased 63.9% rather than the 66.4% reported.

The seasonally adjusted market index for the week ended Jan. 16 increased 16.1% rather than the 14.2% reported. Applications for purchases that week actually decreased 0.6% rather than decreasing 2.5%. Applications for refinances increased 24.2% rather than the 22.3% originally reported.

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