Plummeting refinance applications crimped ""Federal Housing Administration"":http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/fhahistory (FHA) mortgage loan applications over June, according to a report issued by the federal agency, with total volume falling 22 percent less than volume at the same time last year.[IMAGE]
The ""Single-Family Outlook report"":http://portal.hud.gov/hudportal/documents/huddoc?id=ol0611.pdf, a monthly review of application insurance statistics, covers an array of housing sector data, including claims, delinquency, and endorsement information, according the federal agency's Web site.
The FHA attributed the plunge to a 50 percent decline in year-over-year numbers for refinance applications. Data from June last year suggests a sharp decline in refinance loan applications, which dropped from 69,876 to 35,367 the same month this year.[COLUMN_BREAK]
Overall loan applications totaled 131,796 in June, as compared with 168,915 in the same month last year. Meanwhile, refinance transactions fell to 74,370 from 115,831, reflecting a 29 percent drop. The FHA also said that it endorsed 5,857 high-end conforming mortgages.
Spokespeople for neither ""HUD"":http://portal.hud.gov/portal/page/portal/HUD nor the FHA could be immediately reached for comment.
Approved FHA loans fell by 33 percent in June in contrast with numbers from the same month last year, with the agency backing 101,469 mortgages in 2011 ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô a marked decline when viewed alongside 150,911 completed loans in 2010. Average processing times came out to 9.4 weeks, with the application and closing periods taking up to 6.1 weeks on average and 3.3 weeks from closed applications to endorsements.
Among insured single-family mortgages, the FHA showed a 7,151,199-strong portfolio, alongside an overall balance of $994.6 billion. Purchase loan applications also saw a dip in year-over-year averages. The FHA reported 87,674 purchase applications in June this year, as compared with 89,951 applications in the same month last year, reflecting a 9.7 percent decrease.
The outlook yielded 74,370 completed purchase money mortgages in June this year, substantially down from 115,831 from the same month in 2010. Homebuyers secured FHA loans with an average FICO score of 699 in June, up from 698 last year.