Mortgage Applications Decline Even as Rates Drop
Last week was another slow week for the mortgage business with the Market Composite Index, a measure of loan application volume, falling 4 percent on a seasonally adjusted basis to 615.2 from 641.1 the previous week.
On an unadjusted basis, the index decreased 5.3 percent compared with the previous week, but it was up 10.6 percent compared with the same week one year earlier.
The refinance share of mortgage activity increased to 40.4 percent of total applications from 39.9 percent the previous week.
The average interest rate for 30-year fixed-rate mortgages decreased to 6.41 percent from 6.49 percent. The average contract interest rate for 15-year fixed-rate mortgages decreased to 6.10 from 6.20 percent. The average interest rate for one-year ARMs increased to 6.51 from 5.84 percent.
Source: REALTOR® Magazine Online