Mortgage applications rose by 4.2% on a seasonally-adjusted basis from one week earlier for the week ending August 17, 2018, according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications survey.
On an unadjusted basis, the Market Composite Index measure of mortgage loan application volume rose 3% over the previous week. The Refinance Index rose 6% from the previous week. The seasonally-adjusted Purchase Index rose 3% over the same period, while the unadjusted Purchase Index rose 1%.
The refinance share of mortgage activity rose to 38.7% of total applications, up from 37.6% the previous week. The adjustable-rate mortgage (ARM) share rose to 6.5% of total applications. The FHA share fell to 10.2% from 10.4%, the VA share fell to 10.5% from 10.6%, and the USDA share fell to 0.7% from 0.8%.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($453,100 or less) remained unchanged at 4.81%. Points for 80% loan-to-value ratio (LTV) loans fell to 0.42 from 0.43. (All 80% LTV loan reports include the origination fee.) The effective rate also remained unchanged from last week.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $453,100) fell to 4.68% from 4.73%. Points for 80% LTV loans fell to 0.28 from 0.29, and the effective rate decreased from last week.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA rose to 4.82% from 4.77%. Points for 80% LTV loans rose to 0.69 from 0.68, and the effective rate increased from last week.
The average contract interest rate for 15-year fixed-rate mortgages fell to 4.25% from 4.27%. Points for 80% LTV loans fell to 0.47 from 0.52, and the effective rate decreased from last week.
The average contract interest rate for 5/1 ARMs fell to 4.00% from 4.06%. Points for 80% LTV loans rose to 0.52 from 0.48, and the effective rate decreased from last week.
