Mortgage applications decreased 1.2 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending July 19, 2013. The Market Composite Index, a measure of mortgage loan application volume, decreased 1.2 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased one percent compared with the previous week. The Refinance Index decreased one percent from the previous week driven by a 12 percent drop in the Government Refinance index, while the Conventional Refinance index rose by two percent. The Refinance Index is at the lowest level since July 2011. The seasonally adjusted Purchase Index decreased two percent from one week earlier. The unadjusted Purchase Index decreased two percent compared with the previous week and was six percent higher than the same week one year ago.
The refinance share of mortgage activity remained unchanged at 63 percent of total applications.The adjustable-rate mortgage (ARM) share of activity decreased to seven percent of total applications.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,500 or less) decreased to 4.58 percent from 4.68 percent,with points decreasing to 0.40 from 0.42 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans. The effective rate decreased from last week.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,500) decreased to 4.66 percent from 4.81 percent,with points increasing to 0.41 from 0.40 (including the origination fee) for 80 percent LTVs. The effective rate decreased from last week.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased to 4.28 percent from 4.38 percent,with points increasing to 0.33 from 0.22 (including the origination fee) for 80 percent LTVs. The effective rate decreased from last week.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 3.63 percent from 3.70 percent, with points decreasing to 0.35 from 0.38 (including the origination fee) for 80 percent LTVs. The effective rate decreased from last week.
The average contract interest rate for 5/1 ARMsdecreased to 3.30 percent from 3.39 percent,with points decreasing to 0.34 from 0.37 (including the origination fee) for 80 percent LTVs. The effective rate decreased from last week.
