Thursday, August 2, 2012

MBA Weekly Mortgage Application Survey



The latest Weekly Mortgage Application Survey of the Mortgage Bankers Association -- with data for the week ending July 27, 2012 -- was released August 1. The 30-year fixed rate has been below 4% since the week ending May 4, 2012.

  • The Market Composite Index, a measure of mortgage loan application volume, increased 0.2% to its highest level since June 8, 2012 on a seasonally adjusted basis from one week earlier.  On an unadjusted basis, the Index also increased 0.2% compared with the previous week. 

  • The Refinance Index increased 0.8% from the previous week to its highest level since the week ending April 17, 2009.  The slight increase in refinance activity was muted by a 6% drop in government refinance applications, while conventional refinance activity increased about 2% over the week.

  • The seasonally adjusted Purchase Index decreased about 2% from one week earlier. The unadjusted Purchase Index also decreased compared with the previous week.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,500 or less) increased to 3.75% from 3.74%, with points increasing to 0.51 from  0.43 (including the origination fee) for 80% loan-to-value ratio (LTV) loans.  The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,500) increased to 4.01% from 3.99%, with points increasing to 0.32 from 0.28 (including the origination fee) for 80% LTV loans.  The effective rate increased from last week.

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The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies, mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending field.

For additional information, visit MBA's web site: www.mortgagebankers.org.




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