Mortgage Applications Slid 8.7% in Third Week of June
Washington, DC, June 24, 2020-Mortgage applications decreased 8.7% from one week earlier, according to data from the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey for the week ending June 19, 2020.
The Market Composite Index, a measure of mortgage loan application volume, decreased 8.7% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 9% compared with the previous week. The Refinance Index decreased 12% from the previous week and was 76% higher than the same week one year ago. The seasonally adjusted Purchase Index decreased 3% from one week earlier. The unadjusted Purchase Index decreased 4% compared with the previous week and was 18% higher than the same week one year ago.
"Mortgage applications decreased 9% last week, with both refinance and purchase activity falling despite the 30-year fixed rate mortgage staying at 3.30%--the record low in MBA's survey," said Joel Kan, MBA's associate vice president of economic and industry forecasting. "Refinance applications dropped to their lowest level in three weeks, but the index remained 76% higher than a year ago. Despite the decline last week, MBA still anticipates refinance originations to increase to $1.35 trillion in 2020-the highest level since 2012."