Mortgage apps down, refis hit 8-month low

by MPA30 Apr 2015
Mortgage applications were down last week, according to new data from the Mortgage Bankers Association.

The MPA’s Market Composite Index, which measures loan volume application, dropped 2.3% on a seasonally adjusted basis last week from the week prior. On an unadjusted basis, the index was down 2%. The seasonally adjusted Purchase Index held steady, while the unadjusted Purchase Index was up 21% from the week before, and up 21% from the same week a year ago.

The refinance share of mortgage activity fell to 55% of total applications – its lowest level since September – from 56% the week prior. The adjustable-rate mortgage share increased to 5.7% of total applications, according to the MBA.

The FHA share of total applications was up slightly, increasing to 13.7% from 13.6% the week prior. The VA share was also up, rising from 11% to 11.3% last week. The USDA share of total applications held steady at 0.8%.

The average interest rate for 30-year fixed-rate mortgages with conforming loan balances increased to 3.85% last week from 3.83% the week before. The average rate for 30-year FRMs with jumbo loan balances decreased to 3.82% from 3.83% the week before.

The average rate for 5/1 ARMs was down last week, dropping to 2.88% from the previous week’s average of 2.89%.