The volume of mortgage applications fell for the third straight week during the period ended November 15 the Mortgage Bankers Association (MBA) said today. The Market Composite Index, a measure of application volume, decreased 2.3 percent on a seasonally adjusted basis and with an adjustment to account for the Veterans' Day holiday. On an unadjusted basis the index was down 13 percent compared to the previous week.
The Refinancing Index was down 7 percent from volume during the week ended November 8 and the portion of all applications that were for refinancing declined to 64 percent from 66 percent the prior week. The seasonally adjusted Purchase Index rose 6 percent from the previous week but on an unadjusted basis in was down 8 percent week-over-week and was 3 percent lower than during the same week in 2012.
Refinance Index vs 30 Yr Fixed
Purchase Index vs 30 Yr Fixed
Results from MBA's Weekly Mortgage Application Survey showed a mixed pattern of mortgage interest rates changes. The average contract rate for 30-year fixed-rate mortgages (FRM) with conforming loan balances of $417,000 or less increased to 4.46 percent from 4.44 percent with points decreasing to 0.38 from 0.44 and the effective rate was down.
The average contract rate and the effective rate for jumbo 30-year FRMs decreased from the previous week. The new contract rate was 4.47 percent with 0.22 point, down from 4.48 percent with 0.34 point.
FHA-backed 30-year FRM had a rate of 4.14 percent, down 2 basis points from the previous week and points decreased to 0.25 from 0.32. The effective rate decreased.
The rate for 15-year FRM was unchanged at 3.52 percent while points increased to 0.33 from 0.27. The effective rate increased.
Applications for adjustable rate mortgages (ARMs) maintained a 7 percent market share. The average rate for 5/1 ARMS increased 1 basis point to 3.12 percent with points increasing to 0.37 from 0.27. The effective rate increased.
All interest rates are based on loans with an 80 percent loan-to-value ratio. Points include the origination fee.
MBA's weekly survey has been conducted since 1990 among mortgage bankers, commercial banks and thrifts. It covers over 75 percent of all U.S. retail residential mortgage applications and the base period and value for all indexes in March 16, 1990=100.