U.S. Mortgage Application Volume Up 1.3% in Latest Week -- MBA
By Nathalie Tadena
The number of mortgage applications filed rose 1.3% in the latest week on a seasonally adjusted basis as interest rates fell to their lowest level since mid-June, the Mortgage Bankers Association said Wednesday.
On an unadjusted basis, MBA reported the market composite index rose 1% in the week ended Oct. 4 from the prior week. The refinance index climbed 3%, while the seasonally adjusted purchase index slipped 1%.
Interest rates generally trended higher during the summer months, curbing demand for new-home purchases and making refinancing less attractive. However, MBA has reported a drop in interest rates in recent weeks.
The share of applications filled to refinance existing mortgages increased to 64% of total applications from 63% in the prior week. Adjusted-rate mortgages, or ARMs, were unchanged at 6% of total applications.
The average rate on 30-year fixed-rate mortgages with conforming loan balances fell to 4.42% from 4.49% in the prior week. Rates on similar mortgages with jumbo-loan balances slid to 4.45% from last week's 4.53%. The average rate on 30-year fixed-rate mortgages backed by the Federal Housing Administration decreased to 4.15% from 4.21% last week.
The average rate for 15-year fixed-rate mortgages slid to 3.52% from 3.55% last week. The 5/1 ARM average edged down to 3.25% from 3.26% a week earlier.
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