Skip to main content

MBA: 'All Loan Types Hit Highest Levels In Two Weeks'

Navi Persaud
May 20, 2021
the Federal Housing Finance Agency (FHFA) reported home prices in November were up 0.4 percent from October and up 5.8 percent from one year earlier

The Mortgage Bankers Association's Weekly Mortgage Application Survey for the week ending May 14, 2021, reported a 1.2% increase in mortgage applications from the previous week. The report also highlighted that all loan types have hit their highest levels in two weeks.

The Refinance Index increased 4% from the previous week and was just 2% lower than the same week in 2021. The seasonally adjusted Purchase Index decreased 4% this week but was 2% higher year-over-year.

"Mortgage rates increased last week, with all loan types hitting their highest levels in two weeks. Rates were still lower than levels reported in late March and early April, providing additional opportunity for borrowers to refinance. Despite the 30-year fixed rate rising to 3.15%, applications for conventional and VA refinances increased. Ongoing volatility in refinance applications is likely if rates continue to oscillate around current levels," said Joel Kan, MBA's associate vice president of Economic and Industry Forecasting. "A decline in purchase applications was seen for both conventional and government loans. There continues to be strong demand for buying a home, but persistent supply shortages are constraining purchase activity, and building material shortages and higher costs are making it more difficult to increase supply. As a result, home prices and average purchase loan balances continue to rise, with the average purchase application reaching $411,400 - the highest since February."

Additionally, the refinance share of mortgage activity increased from 61.3% to 63.3% of total applications and the adjustable-rate mortgage share of activity increased to 3.9% of total applications. The FHA share of total applications decreased to 9.2%, the VA share increased slightly to 12% and the USDA share of total applications decreased slightly to 0.4%.

Click here to read more from the MBA's WMAS.

Published
May 20, 2021
Home Partners Of America Launches Choice Lease Program

Home Partners of America launched its Choice Lease program aimed at addressing the affordable housing crisis and mortgage access challenges, that are faced by low-to-moderate-income families and underrepresented communities.

Industry News
Jan 17, 2022
KBRA Assigns Preliminary Ratings To OBX 2022-NQM1 Trust

Kroll Bond Rating Agency assigned preliminary ratings to six classes of mortgage pass-through notes from OBX 2022-NQM1 Trust, a $556.7 million non-prime RMBS transaction.

Non-QM
Jan 17, 2022
Zillow: Black Mortgage Applicants Denied 84% More Often Than White

Zillow recently analyzed data from the Home Mortgage Disclosure Act and found that Black mortgage applicants are denied a mortgage 84% more often than white applicants.

Analysis and Data
Jan 13, 2022
Mortgage Economic Review January 2022

The Mortgage Economic Review is a monthly summary of Key Economic Indicators, Data, and Events pertinent to Mortgage and Real Estate Professionals.

Analysis and Data
Jan 13, 2022
Fairway Independent Mortgage Corp. Puts Employees' Health First

Fairway Independent Mortgage continues to allow its employees to choose whether to return to the office or not.

Industry News
Jan 12, 2022
First American Agrees To Acquire Mother Lode Holding Co.

Acquisition would expand First American’s footprint in 11 states

Industry News
Jan 12, 2022