Mortgage Application Volume Down Last Week

Washington, DC, Oct. 29, 2014 -- Mortgage application volume decreased 6.6% last week from one week earlier, according to the Mortgage Bankers Association.

MBA's Market Composite Index decreased 6.6% on a seasonally adjusted basis from one week earlier and 7% on an unadjusted basis. The Refinance Index decreased 7% from the previous week.

The seasonally adjusted Purchase Index decreased 5% from one week earlier. The unadjusted Purchase Index decreased 5% compared with the previous week and was 15% lower a year ago.

The average loan size for refinance applications decreased to $263,600 in the most recent week from a survey high of $306,400 the previous week. The decrease was driven by a 41% drop in refinance applications for loans greater than $729,000, which had surged almost 130% the week before.

The refinance share of mortgage activity remained unchanged at 65% of total applications from the previous week.

The average interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) increased to 4.13% from 4.03%.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 3.84% from 3.81%.