Mortgage applications have fallen 0.4% on a seasonally-adjusted basis from one week earlier for the week ending May 4th, 2018, according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications survey.
On an unadjusted basis, the Market Composite Index, a measure of mortgage loan application volume, remained unchanged from the previous week. The Refinance Index fell 1%, down to its lowest level since October 2008. The seasonally-adjusted Purchase Index fell 0.2% over the same period, and the unadjusted Purchase Index rose 0.4%.
The refinance share of mortgage activity fell to 36.3% of total applications, the lowest rate since September 2008, down from 36.5% the previous week. The adjustable-rate mortgage (ARM) share of activity fell to 6.5% of all applications. The FHA share of applications fell to 10.1% from 10.3%, the VA share rose to 10.4% from 10.2%, 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) fell to 4.78% from 4.80%. Points for 80% loan-to-value ratio (LTV) loans fell to 0.50 from 0.53. (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 $453,100) fell to 4.65% from 4.69%, with points for 80% LTV loans decreasing to 0.36 from 0.42. The effective rate decreased from last week.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA fell to 4.80% from 4.81%. Points for 80% LTV loans fell to 0.75 from 0.78, and the effective rate decreased from last week.
The average contract interest rate for 15-year fixed-rate mortgages fell to 4.20% from 4.21%. Points for 80% LTV loans fell to 0.48 from 0.49, and the effective rate decreased from last week.
The average contract interest rate for 5/1 ARMs fell to 4.00% from 4.03%. Points for 80% LTV loans fell to 0.43 from 0.44, and the effective rate decreased from last week.
