Mortgage Applications Still Up but Pace Slows

Mortgage applications increased for the third consecutive week, but just barely according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending April 19th, 2013.

The Market Composite Index, which measures mortgage loan application volume including purchase applications and refinance applications, increased a seasonally adjusted 0.2 percent last week and follows a 4.8 percent increase from the previous week.

On an unadjusted basis, mortgage loan application volume increased by one percent after increasing by five percent the week before.

Purchase Applications:

The seasonally adjusted Purchase Index increased by 0.3 percent from last week after posting a four percent gain the week before. The unadjusted Purchase Index was one percent higher than the previous week and was 18 percent higher than during the same period last year.

Refinance Applications:

The Refinance Index also increased a scant 0.3 percent from last week after rising five percent the week before. For the second consecutive week, the refinance share of mortgage activity remained unchanged from the previous week at 75 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)

3.65

3.67

0.41

0.50

Decreased

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

3.75

3.77

0.37

0.27

Increased

15-Year FRM

2.89

2.91

0.40

0.34

Decreased

FHA 30-Year

3.37

3.37

0.64

0.55

Increased

5/1 ARM

2.62

2.57

0.21

0.29

Decreased

 
The adjustable-rate mortgage (ARM) share of activity fell to about four percent of total applications.

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

Source:
Mortgage Bankers Association

Reported by Chris Moore