The Mortgage Bankers Association’s Market Composite Index – a measure of mortgage application volume – fell 5.5% last week on a seasonally adjusted basis. On an unadjusted basis, the index fell 6% from the week prior. The seasonally adjusted Purchase Index was also down, falling 6% to its lowest level since December of 2012.
“Mortgage applications fell further last week, with the market index falling to its lowest level in more than a dozen years,” said Mike Fratantoni, MBA’s vice president of research and economics. “Both purchase and refinance applications fell as interest rates increased going into today's Federal Open Market Committee meeting.”
The refinance share of mortgage activity was up, reaching 66% of total applications last week. The adjustable-rate mortgage share of mortgage activity held steady at 8%.
The average interest rate for 30-year fixed-rate mortgages with conforming loan balances increased from 4.61% to 4.62% -- the highest level since September. The average rate for 30-year FRMs with jumbo loan balances increased from 4.59% to 4.61% -- also its highest level since September.
Mortgage application volume hit a 12-year low last week, according to data released today.