(February 7, 2013) Mortgage applications for both home purchases and refinances bounced back from last week’s decline with home purchase applications reaching their highest level in almost three years according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending February 1st, 2013.
The Market Composite Index, which measures mortgage loan application volume including purchase applications and refinance applications, increased a seasonally adjusted 3.4 percent and follows an 8.1 percent decline from the previous week.
On an unadjusted basis, mortgage loan application volume increased by 16 percent after falling by 17 percent the week before.
Purchase Applications:
The seasonally adjusted Purchase Index climbed two percent from last week after falling by the same amount the week before, while the unadjusted Purchase Index was 21 percent higher than the previous week. The unadjusted Purchase Index was 16 percent higher than during the same period last year.
The seasonally adjusted Purchase Index was at its highest level since May of 2010 when home sales were artificially inflated due to the homebuyer’s tax credit.
Refinance Applications:
The Refinance Index increased four percent from last week after declining by ten percent the week before. The refinance share of mortgage activity fell from 79 percent of total applications the previous week to 78 percent last week.
Mortgage Interest Rates:
|
Average Contract Mortgages Rates |
|||||
|
Type of |
Interest Rate (%) |
Points |
Effective Rate |
||
|
Current |
Previous |
Current |
Previous |
||
| 30-Year FRM Conforming ($417,500 or less) |
3.73 |
3.67 |
0.43 |
0.42 |
Increased |
| 30-Year FRM Non-Conforming ($417,501 or more) |
3.96 |
3.95 |
0.38 |
0.39 |
Increased |
| 15-Year FRM |
3.00 |
2.95 |
0.33 |
0.38 |
Increased |
| FHA 30-Year |
3.53 |
3.48 |
0.38 |
0.33 |
Increased |
| 5/1 ARM |
2.72 |
2.60 |
0.30 |
0.33 |
Increased |
The adjustable-rate mortgage (ARM) share of activity remained around four percent of total applications.
Tags: MBA, home purchase applications, mortgage rates, fixed rate mortgage, adjustable rate mortgage, refinance, interest rate
Source:
Mortgage Bankers Association
Reported by Chris Moore
