Mortgage Applications Decline for a Third Week

Mortgage applications fell for the third consecutive week with applications for purchase loans falling to a two month low according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending February 22nd, 2013.

The Market Composite Index, which measures mortgage loan application volume including purchase applications and refinance applications, fell a seasonally adjusted 3.8 percent and follows a 1.7 percent decline from the previous week.

On an unadjusted basis, mortgage loan application volume fell by three percent after declining by one percent the week before.

Purchase Applications:

The seasonally adjusted Purchase Index sled an additional five percent from last week after falling by two percent the week before, while the unadjusted Purchase Index was two percent lower than the previous week. The unadjusted Purchase Index was still 14 percent higher than during the same period last year.

Refinance Applications:

The Refinance Index declined three percent from last week after falling by two percent the week before. The refinance share of mortgage activity remained unchanged at 77 percent of total applications.

Mortgage Interest Rates:

Average Contract Mortgages Rates
(80% loan-to-value)

Type of
Loan

Interest Rate (%)

Points

Effective Rate

Current

Previous

Current

Previous

30-Year FRM Conforming
($417,500 or less)

3.77

3.78

0.48

0.40

Increased

30-Year FRM Non-Conforming
($417,501 or more)

3.93

3.94

0.37

0.40

Decreased

15-Year FRM

3.03

3.03

0.34

0.38

Decreased

FHA 30-Year

3.54

3.54

0.41

0.40

Increased

5/1 ARM

2.65

2.66

0.36

0.32

Decreased

The adjustable-rate mortgage (ARM) share of activity remained at around four percent of total applications.

Tags: MBA, home purchase applications, mortgage rates, fixed rate mortgage, adjustable rate mortgage, refinance, interest rate

Source:
Mortgage Bankers Association

Reported by Chris Moore