Mortgage Application Volume Falls on Refinancing

Washington, DC, Nov. 17, 2010 -- Mortgage application volume dropped last week, as demand for refinancing loans fell, according to the Mortgage Bankers Association.

The group's Market Composite Index, which measures total applications for mortgage loans, declined 14.4% from a week earlier.

The Refinance Index fell 16.5% and is now at its lowest level since July.

The Purchase Index fell 5%, the first decrease after three weeks of increases. Refinancing applications accounted for more than 80% of total applications.

The average interest rate for 30-year fixed-rate mortgages rose to 4.46% from 4.28%, the highest since September.