Wednesday, October 3, 2012

Mortgage Refinance Applications Highest Since 2009



The latest Weekly Mortgage Application Survey of the Mortgage Bankers Association -- with data for the week ending September 28 -- was released October 3.

"Refinance application volume jumped to the highest level in more than three years last week as each of the five mortgage rates in MBA's survey dropped to new record lows in the survey,” said Mike Fratantoni, MBA’s Vice President of Research and Economics. 

Application Volume:

  • The Market Composite Index, a measure of mortgage loan application volume, increased 16.6% on a seasonally adjusted basis from one week earlier.  On an unadjusted basis, the Index increased 17% compared with the previous week.

  • The Refinance Index increased 20% from the previous week.  This was the highest Refinance Index recorded in the survey since April of 2009.

  • The seasonally adjusted Purchase Index increased 4% from one week earlier. The unadjusted Purchase Index also increased 4% compared with the previous week and was 11% higher than the same week one year ago.


Interest Rates

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,500 or less) decreased to 3.53% from 3.63%.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,500) decreased to 3.82% from 3.87%.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased to 3.37% from 3.44%.

The average contract interest rate for 15-year fixed-rate mortgages decreased to 2.90% from 2.98%.


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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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