According to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey, mortgage applications increased by 2.8% over the week ending June 9th, 2017. (Last week’s survey included an adjustment for the Memorial Day holiday.)
On an unadjusted basis, the Market Composite Index, a measure of mortgage loan application volume, increased by 27% from the previous week. The Refinance Index increased by 9% from the previous week. The seasonally-adjusted Purchase Index decreased by 3%, and the unadjusted Purchase Index increased by 19%.
The refinance share of total mortgage application activity increased to 45.4%, up from 42.1% the previous week, and the average loan size for refinance applications reached its highest level since September 2016 at $274,700. The adjustable-rate mortgage (ARM) share of activity remained unchanged at 7.4%. The FHA share of total applications increased to 11.2% from 10.6% the week before, the VA share of total applications remained unchanged at 11.1%, and the USDA share of total applications remained unchanged at 0.8%.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,100 or less) decreased to 4.13% from 4.14%. Points for 80% loan-to-value ratio (LTV) loans increased to 0.35 from 0.34, and the effective rate remained unchanged from last week. (All 80% LTV loan reports include the origination fee.)
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $424,100) decreased to 4.06% from 4.08%, with points for 80% LTV loans increasing to 0.24 from 0.21. The effective rate decreased from last week.
For 30-year fixed-rate mortgages backed by the FHA, the average contract interest rate decreased to 4.00% from 4.01%. Points for 80% LTV loans decreased to 0.29 from 0.39, and the effective rate decreased from last week.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 3.37% from 3.39%. Points for 80% LTV loans decreased to 0.34 from 0.43. The effective rate decreased from last week. The average contract interest rate for 5/1 ARMs increased to 3.26% from 3.19%, and points for 80% LTV loans decreased to 0.20 from 0.27. The effective rate increased from last week.
