The results included an adjustment for the MLK Day holiday.
The MBA’s Market Composite Index, which measures loan application volume, rose 4.5% on a seasonally adjusted basis and decreased 4% on an unadjusted basis.
The Refinance Index ticked up 1%. The seasonally adjusted Purchase Index climbed 6% to its highest level since April 2010. On an unadjusted basis, the Purchase Index rose 2% compared with the previous period and was 7% higher than the same week in 2017.
Refinances accounted for 49.4% of total applications, seeing a smaller share compared to the 52.2% in the previous period. Adjustable-rate mortgages made up 5.2% of overall activity, remaining unchanged from the prior survey.
The share of FHA
applications declined to 11.4% from 11.7%, while VA
applications recorded an increase in their share to 10.9% from 10.7%. The USDA share of total applications remained unchanged at 0.8%.
Average contract interest rates increased for all mortgage types during the week.
The rate for 30-year fixed-rate mortgages averaged 4.36%, its highest level since March. The average rose from 4.33% in the previous period. Points for 80% loan-to-value ratio loans remained unchanged at 0.54.
The rate for 30-year fixed-rate mortgages with jumbo loan balances averaged 4.31%, also its highest level since March. The average is an increase from 4.25%. Points also rose to 0.38 from 0.36. The average rate for 30-year fixed-rate mortgages backed by the FHA increased to its highest level since September 2013, 4.37%, from 4.30%, with points steady at 0.65.
The 15-year fixed-rate mortgage had an average rate of 3.81%, its highest level since September 2013, with points increasing to 0.52 from 0.44. The average rate for 5/1 ARMs increased to 3.7%, its highest level since April 2011, with points decreasing to 0.39 from 0.48.
Mortgage applications gather pace
Mortgage app volume grows along with refi activity share
Mortgage application volume increased during the week ending Jan. 19, while refinances recorded a decline in their share of overall activity, according to the Weekly Mortgage Applications Survey released by the Mortgage Bankers Association.