Mortgage applications increased 11.2 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Sept. 13, 2013. The previous week’s results included an adjustment for the Labor Day holiday.
The Market Composite Index, a measure of mortgage loan application volume, increased 11.2 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 23 percent compared with the previous week. The Refinance Index increased 18 percent from the previous week. The seasonally adjusted Purchase Index increased 3 percent from one week earlier and is close to the same level as two weeks ago, before the holiday. The unadjusted Purchase Index increased 12 percent compared with the previous week and was 1 percent higher than the same week one year ago.
The refinance share of mortgage activity increased to61 percent of total applications from 57 percent the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to7 percent of total applications. The HARP share of refinance applications increased to 40 percent, from 38 percent the week before, and is the highest since MBA started tracking this measure in early 2012.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) decreased to 4.75 percent from 4.80 percent,with points decreasing to 0.39 from 0.46 (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 $417,000) decreased to 4.83 percent from 4.84 percent,with points decreasing to 0.33 from 0.41 (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 4.50 percent from 4.56 percent,with points increasing to 0.41 from 0.28 (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 3.81 percent from 3.83 percent, with points decreasing to 0.34 from 0.42 (including the origination fee) for 80 percent LTVs. The effective rate decreased from last week.
The average contract interest rate for 5/1 ARMs decreased to 3.54 percent from 3.59 percent,with points remaining unchanged at 0.43 (including the origination fee) for 80 percent LTV loans. The effective rate decreased from last week.
