Mortgage Applications Drop 7.3 Percent

Mortgage Applications Drop 7.3 Percent

April 24, 2019
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Fewer people were in pursuit of mortgage applications, according to the latest data from the Mortgage Bankers Association (MBA) for the week ending April 19.
The Market Composite Index was down by 7.3 percent on a seasonally adjusted basis from one week earlier while the unadjusted index fell 6 percent. The seasonally adjusted Purchase Index decreased four percent from one week earlier and the unadjusted index was three percent lower—although the latter was also three percent higher than the same week one year ago. The Refinance Index decreased 11 percent from the previous week. The refinance share of mortgage activity decreased to 39.4 percent of total applications from 41.5 percent the previous week.
Among the federal programs, the FHA share of total applications increased to 9.9 percent from 9.4 percent the week prior and the VA share of total applications decreased to 11.3 percent from 11.6 percent, while the USDA share of total applications remained unchanged from 0.6 percent.
“The strong economy and job market is keeping buyer interest high, but rising mortgage rates could add pressure to the budgets of some would-be buyers,” said Mike Fratantoni, MBA Senior Vice President and Chief Economist.