Skip to main content

Refis on the Rise as Purchase Apps Dip

Jul 15, 2015
Mortgage applications were up in the latest data report issued by the Mortgage Bankers Association

Mortgage applications decreased 1.9 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending July 10, 2015. The prior week’s results included an adjustment for the July 4th holiday.

The Market Composite Index, a measure of mortgage loan application volume, decreased 1.9 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased nine percent compared with the previous week. The Refinance Index increased four percent from the previous week. The seasonally adjusted Purchase Index decreased eight percent from one week earlier. The unadjusted Purchase Index increased three percent compared with the previous week and was 17 percent higher than the same week one year ago. Comparing volume over the past two weeks, seasonally adjusted purchase applications decreased by 1.4 percent while the refinance index has increased 6.5 percent.

The refinance share of mortgage activity increased to 50.8 percent of total applications from 48 percent the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 7.4 percent of total applications.

The FHA share of total applications increased to 13.8 percent from 13.7 percent the week prior. The VA share of total applications remained unchanged from 10.8 percent the week prior. The USDA share of total applications remained unchanged 0.9 percent the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) remained unchanged from 4.23 percent, with points increasing to 0.39 from 0.37 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) increased to 4.20 percent from 4.18 percent, with points decreasing to 0.28 from 0.30 (including the origination fee) for 80 percent LTV loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 4.02 percent from 4.01 percent, with points increasing to 0.26 from 0.18 (including the origination fee) for 80 percent LTV loans. The effective rate increased from last week.

The average contract interest rate for 15-year fixed-rate mortgages increased to 3.43 percent from 3.41 percent, with points increasing to 0.33 from 0.31 (including the origination fee) for 80 percent LTV loans. The effective rate increased from last week.

The average contract interest rate for 5/1 ARMs increased to 3.13 percent from 3.03 percent, with points increasing to 0.42 from 0.37 (including the origination fee) for 80 percent LTV loans. The effective rate increased from last week.

About the author
Published
Jul 15, 2015
Maximum Acceleration, Originator Connect Network Sign Exclusive CE Agreement

Pact gives OCN guaranteed live CE at shows, creates nationwide opportunity for Maximum Acceleration

Apr 17, 2024
CMG Acquires Norcom Mortgage's Retail Side

The 25-branch addition will enhance CMG’s northeastern presence from Maryland to Maine.

Apr 12, 2024
CFPB Weighs Title Insurance Changes

The agency considers a proposal that would prevent home lenders from passing on title insurance costs to home buyers.

NEXA Begins Search For New CFO

NEXA CEO retires the president position after Mat Grella's termination.

Apr 01, 2024
Co-Founder Mat Grella Terminated From NEXA

NEXA CEO Kortas states negotiations regarding the buyout will continue.

Mar 27, 2024
Comings And Goings At AmeriHome

Chief Operating Officer John Hedlund announced his retirement on Thursday in a LinkedIn post.

Mar 22, 2024