There was a drop in mortgage applications in the week ending February 9 according to the latest figures from the Mortgage Bankers Association
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There was a drop in mortgage applications in the week ending February 9 according to the latest figures from the Mortgage Bankers Association.
Its mortgage survey index was down 4.1% (seasonally adjusted) from a week earlier. Unadjusted, the index slipped 2%. The refinance index was down 2% while the purchase index decreased 6% on a seasonally-adjusted basis, and 3% unadjusted.
The survey, which covers more than 75% of US mortgage applications, also reveals that refinances increased their share of all mortgage applications to 46.5% (up 1 basis point from a week earlier.)
ARMs increased to 6.3% of all applications; the FHA share of total applications decreased to 10.1% from 10.4% the week prior; the VA share remained unchanged at 10.1%; and the USDA share of total applications increased to 0.8% from 0.7% the week prior.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($453,100 or less) increased to 4.57% (from 4.50%) its highest rate since January 2014, with points increasing to 0.59 from 0.57 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate increased from last week.
The 15-year rate increased to 4%, its highest since April 2011, from 3.92 percent, with points increasing to 0.65 from 0.65. The average contract interest rate for 5/1 ARMs decreased to 3.74% from 3.77%, with points decreasing to 0.37 from 0.42.
