The Mortgage Bankers Association’s Market Composite Index, which measures loan application volume, was down 4.1% on a seasonally adjusted basis last week from the week prior. On an unadjusted basis, the index was down 2%. The Refinance Index dropped 3% from the previous week, and the seasonally adjusted purchase index was down 6%, hitting its lowest level since September of 2011. The unadjusted Purchase Index dropped 2% from the week prior, and was 17% lower than the same week a year ago.
The refinance share of mortgage activity dropped to 61% of all applications, its lowest level since September 2013. The adjustable-rate mortgage share was up, rising to 8% of all applications, according to the MBA.
The average rate for 30-year fixed-rate mortgages with conforming loan balances rose to 4.50% from the previous week’s 4.45%. The average rate for 30-year FRMs with jumbo loan balances rose to 4.45% from the previous week’s 4.40%.
The average rate for Federal Housing Administration-backed 30-year FRMs was also up, increasing to 4.16% from the prior week’s 4.13%. the average rate for 15-year FRMs increased to 3.55% from 3.49% the week prior.
Rates for adjustable-rate mortgages were also up, as the average rate for the 5/1 ARM spiked to 3.20% from last week’s 3.11%.
Mortgage applications were down last week as interest rates rose, according to data released today.