The Market Composite Index measure of mortgage loan application volume rose by 6.3% over the week ending July 14th, 2017, according to the results of the latest Mortgage Bankers’ Association (MBA) Weekly Survey. (Last week’s results included an adjustment for the Fourth of July holiday.) On an unadjusted basis, the Index increased by 33% over the previous week.
The Refinance index increased by 13% over the same period, and the seasonally-adjusted Purchase index increased by 1%. The unadjusted Purchase index increased by 27%.
The refinance share of mortgage activity rose to 44.7% of total applications, up from 42.1% the previous week. The adjustable-rate mortgage (ARM) share of activity remained unchanged at 6.7% of total applications. The FHA share of total applications increased to 10.7% from 10.4%, the VA share decreased to 10.7% from 11.5%, and the USDA share remained unchanged at 0.7%
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,100 or less) remained unchanged at 4.22%. Points for 80% loan-to-value ratio (LTV) loans decreased to 0.31 from 0.40. (All 80% LTV loan reports include the origination fee.) The effective rate decreased from last week.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $424,100) decreased to 4.18% from 4.19%. Points for 80% LTV loans remained unchanged at 0.30, and the effective rate decreased from last week. The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased to 4.10% from 4.12%. Points for 80% LTV loans decreased to 0.30 from 0.40, and the effective rate decreased from last week.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 3.48% from 3.50%. Points for 80% LTV loans decreased to 0.39 from 0.45, and the effective rate decreased from last week.
The average contract interest rate for 5/1 ARMs remained unchanged at 3.32%. Points for 80% LTV loans decreased to 0.21 from 0.31, and the effective rate decreased from last week.
