December 19, 2012 (Chris Moore)
Mortgage applications tumbled last week led by a sharp drop in applications to refinance mortgages according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending December 13th, 2012.
The Market Composite Index, a measure of mortgage loan application volume including purchase applications and refinance applications, fell a seasonally adjusted 12.3 percent from the previous week and follows a 6.2 percent increase the week before.
On an unadjusted basis, the Index declined by 13 percent from the previous week and follows a six percent increase from the week before.
Purchase Applications:
The seasonally adjusted Purchase Index fell five percent from the previous week after climbing by one percent the week before, while the unadjusted Purchase Index declined by eight percent over the previous week. The unadjusted Purchase Index was nine percent lower than during the same period last year.
Refinance Applications:
The Refinance Index fell 14 percent from the previous week after posting an increase of eight percent the week before. The refinance share of mortgage activity declined to 83 percent of total applications from 84 percent the week before.
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) |
3.50 |
3.47* |
0.44 |
0.36 |
Increased |
| 30-Year FRM Non-Conforming ($417,501 or more) |
3.73* |
3.77 |
0.29 |
0.35 |
Decreased |
| 15-Year FRM |
2.83* |
2.85 |
0.26 |
0.26 |
Decreased |
| FHA 30-Year |
3.34 |
3.32* |
0.54 |
0.51 |
Increased |
| 5/1 ARM |
2.61 |
2.63 |
0.36 |
0.34 |
Decreased |
*Record Survey Low
The adjustable-rate mortgage (ARM) share of activity remained around three percent of total applications.
Tags: MBA, home purchase applications, mortgage rates, fixed rate mortgage, adjustable rate mortgage, refinance, interest rate
Source:
Mortgage Bankers Association
