Mortgage Applications Down Despite Lower Rates

Washington, DC, Sept. 2, 2009--Mortgage applications filed last week decreased 2.2% compared with the week before, even though mortgage rates improved somewhat, the Mortgage Bankers Association said on Wednesday.

Applications for the week ended Aug. 28 were up an unadjusted 22.7% from the same week in 2008, the MBA said.

The week-to-week drop marked a downturn from the comparable 7.5% increase in filings for the week ended Aug. 21.

Mortgage applications to purchase homes for the latest week were down 1.0%, compared with the week before.

Applications to refinance existing home loans were down 3.1% on a week-to-week basis.

Refinancings accounted for 56.5% of all filings last week, unchanged from the prior week.

The four-week moving average for all mortgages was up a seasonally adjusted 1.7%, the MBA said.

Interest rates on 30-year fixed-rate mortgages averaged 5.15% last week, down from 5.24% the week before.

The average on 15-year fixed-rate mortgages stood at 4.57%, off from 4.58% the week before.