Mortgage Applications Up as Rates Fall

Washington, DC, Aug. 5, 2009--Mortgage applications filed last week rose a seasonally adjusted 4.4%, compared with the week before, as rates on fixed-rate mortgages dropped, the Mortgage Bankers Association said on Wednesday.

Total application volume was up 18% for the week ended July 31, compared with the same week in 2008, according to the MBA's weekly survey, which covers about half of all U.S. retail residential mortgage applications.

Refinance applications rose an unadjusted 7.2% last week, compared with the week before; refinance application volume has risen 35% since its recent low at the end of June, the MBA said.

The volume of applications for mortgages to purchase a home was up a seasonally adjusted 0.9% last week; volume for purchase mortgages has changed little over the last three weeks, according to MBA data.

Refinance applications made up a 54.2% share of all applications last week, up from 52.6% the week before.

Rates on fixed-rate mortgages fell, with the 30-year fixed-rate mortgage averaging 5.17% last week, down from 5.36% the week before. Fifteen-year fixed-rate mortgages averaged 4.60% last week, down from 4.75% the week before.