Mortgage Applications Break Away From Upward Trajectory – NMP Skip to main content

Mortgage Applications Break Away From Upward Trajectory

Oct 02, 2024
Mortgage Applications
Staff Writer

After weeks of increases, applications decreased 1.3% from a week earlier.

After several weeks of increasing, mortgage applications decreased 1.3% from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Applications Survey for the week ending September 27. 

The Market Composite Index, a measure of mortgage loan application volume, decreased 1.3% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 1% compared with the previous week.

The Refinance Index decreased 3% from the previous week and was 186% higher than the same week one year ago. The seasonally adjusted Purchase Index increased 1% from one week earlier, and the unadjusted Purchase Index increased 1% compared with the previous week and was 9% higher than the same week one year ago.

“Last week’s incoming data showed an economy that is still growing at a solid pace, even as inflation continues to decline. As a result, mortgage rates were up modestly, with the 30-year fixed mortgage rate increasing slightly to 6.14%,” said MBA’s SVP and Chief Economist, Mike Fratantoni. "With this move, refinance application volume declined on the week but remains almost three-times as high as last year’s pace.”

Added Fratantoni, “The news for the week was that more homebuyers appear to be entering the market. Purchase application activity was up for the week and increased more than 9% compared to last year at this time. Inventories of both new and existing homes have been increasing over the course of 2024, meaning that potential buyers have properties to look at and now have somewhat lower mortgage rates leading to better affordability.”

The refinance share of mortgage activity decreased to 54.9% of total applications from 55.7% the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 5.8% of total applications.

The FHA share of total applications increased to 16.6% from 15% the week prior. The VA share of total applications decreased to 15.4% from 18.3% the week prior. The USDA share of total applications increased to 0.4% from 0.3% the week prior.

Average Contract Interest Rate Data

  • The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($766,550 or less) increased to 6.14% from 6.13%, with points increasing to 0.61 from 0.57 (including the origination fee) for 80% 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 $766,550) increased to 6.5% from 6.47%, with points decreasing to 0.36 from 0.5 (including the origination fee) for 80% LTV loans. The effective rate remained unchanged from last week.  
  • The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 6.06% from 5.99%, with points decreasing to 0.75 from 0.79 (including the origination fee) for 80% LTV loans.  The effective rate increased from last week.
  • The average contract interest rate for 15-year fixed-rate mortgages increased to 5.51% from 5.47%, with points increasing to 0.62 from 0.52 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.
  • The average contract interest rate for 5/1 ARMs increased to 5.87% from 5.76%, with points increasing to 0.55 from 0.44 (including the origination fee) for 80% LTV loans. The effective rate increased from last week. 
About the author
Staff Writer
Sarah Wolak is a staff writer at NMP.
Published
Oct 02, 2024
More from
Operations
Figure’s Prefunded Deal Shifts Rate Risk From Originators To Bond Investors

Originators get a locked exit in a private-credit market hungry for funding certainty

Jul 03, 2026
Fannie, Freddie Open FICO Score 10T Data Ahead Of Credit Score Modernization

Historical loan-level datasets covering 2013-2025 let market participants evaluate the next-generation credit model using actual GSE mortgage performance.

Jul 02, 2026
TMC Targets Rising Healthcare Costs With New Cooperative

The self-funded program aims to help eligible mortgage companies gain more control over employee healthcare costs

Jul 01, 2026
The Next Challenge In Income Verification

Digital pay stub tools are gaining traction among self-employed workers, but mortgage lenders continue relying on automated verification and multiple data sources to validate borrower income

Jun 29, 2026
MBA Expands CONVERGENCE With New Knowledge Hub For Lenders

iEmergent-powered dashboard gives mortgage professionals local market insights on demographics, affordability, and homeownership trends

Jun 25, 2026