Mortgage applications increased 1.3 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Oct. 4, 2013. The Market Composite Index, a measure of mortgage loan application volume, increased 1.3 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased one percent compared with the previous week. The Refinance Index increased three percent from the previous week and is at its highest level since the week ending Aug. 9, 2013. The seasonally adjusted Purchase Index decreased one percent from one week earlier. The unadjusted Purchase Index also decreased one percent compared with the previous week and was six percent lower than the same week one year ago. For the second consecutive week, the unadjusted Purchase Index was lower compared to the same week one year ago.
The refinance share of mortgage activity increased to 64 percent of total applications from 63 percent the previous week. The adjustable-rate mortgage (ARM) share of activity was unchanged at six percent of total applications.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) decreased to 4.42 percent, the lowest rate since mid-June, from 4.49 percent, with points increasing to 0.44 from 0.34 (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 4.45 percent, the lowest rate since mid-June, from 4.53 percent, with points decreasing to 0.21 from 0.22 (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 4.15 percent, the lowest rate since mid-June, from 4.21 percent, with points increasing to 0.37 from 0.35 (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 3.52 percent, the lowest rate since mid-June, from 3.55 percent, with points increasing to 0.34 from 0.33 (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 3.25 percent, the lowest rate since mid-June, from 3.26 percent, with points increasing to 0.29 from 0.28 (including the origination fee) for 80 percent LTVs. The effective rate decreased from last week.
