Mortgage volume increased 25.5% weak-over-weak for the week ending October 2, according to the Mortgage Bankers Association. Meanwhile, the refinance index increased 24% over the same period.
"The number of applications for purchase and refinance mortgages soared last week due both to renewed rate volatility and as many applications were filed prior to the TILA-RESPA regulatory change,” said Lynn Fisher, MBA's Vice President of Research and Economics.” The average loan size of applications in the weekly survey increased by 6.9 percent, driven by a 12.1 percent increase in the average size of refinances."
And industry players noticed an uptick in inquiries.
“We got a lot of calls and I’ve spoken to others in town who experienced the same thing,” Scott Palmer, an originator with Colorado Professionals Mortage, told Mortgage Professional America. “There was enough information out there and people knew transactions would start taking longer after October 3.”
According to the survey, refinance business fell as a share of overall activity to 57.4% from 58% the week before.
And as applications ticked up, rates fell.
The average rate for a 30-year fixed jumbo loan decreased to 3.89% from 3.96%, the lowest level since April.
The average rate for a 30-year fixed FHA
-backed loan decreased to 3.8% from 3.87%, the lowest level for those types of loans since May.
Applications for both purchases and refinances ticked up last week due to uncertainty surrounding rates.