The MBA released its Weekly Mortgage Applications Survey [1] for the week ending October 6, 2017, Wednesday showing a number of decreases in activity.
Since last week, the Market Composite Index, which measures mortgage loan application volume, decreased 2.1 percent on a seasonally adjusted basis. Unadjusted, the Index fell 2 percent, while MBA’s Refinance Index dropped 4 percent over the week. Seasonally adjusted Purchase Index decreased 0.1 percent, however, breaking up the decreases, Purchase Index increased 0.1 percent compared with the previous week on an unadjusted basis and was 7 percent higher than the same week in 2016.
Refinance activity also fell from 50.1 percent the previous week to 49 percent, while adjustable-rate mortgages (ARMs) increased to 6.6 percent of total applications.
The share of total applications:
- FHA increased from 10 percent to 10.3 percent
- VA rose from 10 percent to 10.6 percent
- USDA decreased to 0.7 percent from 0.8 percent
For 30-year fixed-rate mortgages with conforming loan balances of 424,100 or less increased its average contract interest rate from 4.12 percent to 4.16 percent, with points decreasing from 0.45 percent to 0.44 percent, including the origination fee, for 80 percent loan-to-value ratio loans.
Jumbo loan balances, which are higher than $424,100, on 30-year fixed-rate mortgages average contract interest rate increased from 4.09 percent to 4.11 percent, with points rising from 0.26 to 0.31, including the origination fee, for 80 percent LTV loans.
The average contract interest rate for FHA backed 30-year fixed-rate mortgages increased from 3.99 percent to 4.00 percent, with points decreasing to 0.36 from 0.37, including the origination fee, for 80 percent LTV loans.
15-year fixed-rate mortgages increased in average contract interest rate to 3.44 percent from 3.42 percent, with points decreasing to 0.36 from 0.39, including the origination fee, for 80 percent LTV loans.
The average contract interest rate for 5/1 ARMs increased from 3.30 percent to 3.33 percent, with points remaining unchanged at 0.43 including the origination fee, for 80 percent LTV loans.