Mortgage Applications Fall 2.3 Percent Last Week, MBA Reports

Mortgage Applications Fall 2.3 Percent Last Week, MBA ReportsMortgage applications were down 2.3 percent from the previous week’s data, according to the latest weekly report from the Mortgage Bankers Association (MBA).

The report, which covers the week ended November 15, 2013, was published on Wednesday with an adjustment for Veteran’s Day. With that adjustment taken into account, the Market Composite Index dropped by 2.3 percent. Without any seasonal adjustment, mortgage applications were down 13 percent year-over-year.

The MBA’s Refinance Index tumbled 7 percent from the earlier week, while the Purchase Index ticked up by 6 percent; both figures include seasonal adjustment in the computation. Without any adjustment, the Purchase Index was down 8 percent week-over-week and down 3 percent year-over-year. The refinance share of mortgage applications, another key metric in the MBA’s report, dipped from 66 percent to 64 percent and fell farther below pre-interest rate spike figures, while the adjustable-rate mortgage share firmed at 7 percent.

As for interest rates, the average rate for 30-year fixed mortgages moved up by just two basis points, from 4.44 percent to 4.46 percent. Average mortgage rates for 30-year jumbo loans, or mortgages with balances exceeding $417,000, were up from 4.47 percent to 4.48 percent.

30-year Federal Housing Administration-backed mortgages were also up slightly, adding two basis points from 4.414 percent to 4.16 percent. 15-year fixed mortgage rates held steady at 3.52 percent and finally, average rates for 5/1 ARMs edged up one basis point from 3.11 percent to 3.12 percent.

All the rates quoted above are for mortgage loans with loan-to-value ratios (LTV) of 80 percent.