September 6, 2012 (Chris Moore)
Mortgage interest rates continued to slide last week but so did mortgage applications, falling for the fifth consecutive week according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending August 31st, 2012.
The Market Composite Index, a measure of mortgage loan application volume including purchase applications and refinance applications, declined for the fifth consecutive week falling a seasonally adjusted 2.5 percent from the previous week and follows a 4.3 percent decline the week before.
On an unadjusted basis, the Index fell by three percent from the previous week and follows a five percent decline.
Purchase Applications:
The seasonally adjusted Purchase Index decreased 0.8 percent from the previous week after increasing by just over one percent the week before, while the unadjusted Purchase Index declined by three percent.
Refinance Applications:
The Refinance Index fell another three percent from the previous week after declining by six percent the week before. The refinance share of mortgage activity remained unchanged at 79 percent of total applications.
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) |
3.78 |
3.80 |
0.37 |
0.42 |
Decreased |
| 30-Year FRM Non-Conforming ($417,501 or more) |
4.05 |
4.06 |
0.32 |
0.34 |
Decreased |
| 15-Year FRM |
3.10 |
3.12 |
0.37 |
0.44 |
Decreased |
| FHA 30-Year |
3.54 |
3.60 |
0.44 |
0.48 |
Decreased |
| 5/1 ARM |
2.64* |
2.68 |
0.35 |
0.36 |
Decreased |
*Survey Record Low
The adjustable-rate mortgage (ARM) share of activity increased from just over four percent of total applications the week before to five percent last week.
Tags: MBA, home purchase applications, mortgage rates, fixed rate mortgage, adjustable rate mortgage, refinance, interest rate
Sources:
Mortgage Bankers Association
