According to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey, mortgage applications have fallen 2.6% from one week earlier on a seasonally-adjusted basis for the week ending May 18, 2018.
On an unadjusted basis, the Market Composite Index, a measure of mortgage loan application volume, fell 3% over this timeframe. The Refinance Index fell 4% from the previous week, down to its lowest level since December 2000. The seasonally-adjusted Purchase Index fell 2%, and the unadjusted Purchase Index fell 3%.
The refinance share of mortgage activity fell to 35.7% of total applications, down from 35.9% the previous week. The adjustable-rate mortgage (ARM) share rose to 6.8% of total applications. The FHA share remained unchanged at 10.3%, the VA share fell to 9.8% from 10.3%, and the USDA share remained unchanged at 0.8%.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($453,100 or less) increased to its highest level since April 2011 at 4.86%, up from 4.77% the previous week. Points for 80% loan-to-value ratio (LTV) loans rose to 0.52 from 0.50. (All 80% LTV loan reports include the origination fee.) The effective rate increased from last week.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $453,100) increased to its highest level since September 2013 at 4.81%, up from 4.73%. Points for 80% LTV loans rose to 0.42 from 0.35, and the effective rate increased from last week.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to its highest level since May 2011 at 4.90%, up from 4.78%. Points for 80% LTV loans rose to 0.85 from 0.76, and the effective rate increased from last week.
The average contract interest rate for 15-year fixed-rate mortgages increased to its highest level since February 2011 at 4.31%, up from 4.20% the previous week. Points for 80% LTV loans rose to 0.56 from 0.53, and the effective rate increased from last week.
The average contract interest rate for 5/1 ARMs increased to its highest level in the history of the survey at 4.12%, up from 4.09%. Points for 80% LTV loans fell to 0.46 from 0.56, and the effective rate remained unchanged from last week.
