Rates Fall and Mortgage Applications Rise in Lates

  1. Home
  2. News
  3. Rates Fall and Mortgage Applications Rise in Lates
Rates Fall and Mortgage Applications Rise in Lates
Washington, DC, November 15, 2006--The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending November 10. The week was a shortened one in observance of Veteran’s Day. The Market Composite Index, a measure of mortgage loan application volume, was 647.5, an increase of 4.3 percent on a seasonally adjusted basis from 620.9 one week earlier. On an unadjusted basis, the Index decreased 7.6 percent compared with the previous week and was down 0.1 percent compared with the same week one year earlier. The seasonally-adjusted Refinance Index increased by 6.5 percent to 2022.2 from 1897.9 the previous week and the Purchase Index increased by 2.7 percent to 412.9 from 402.2 one week earlier. The Refinance Index is at its highest level since October 2005. The seasonally-adjusted Conventional Index increased by 4.3 percent to 961.1 from 921.1 the previous week, and the seasonally-adjusted Government Index increased 3.4 percent to 124.5 from 120.4 the previous week. The four week moving average for the seasonally-adjusted Market Index is up 2.6 percent to 606.8 from 591.5. The four week moving average is up 1.8 percent to 393.1 from 386.2 for the Purchase Index, while this average is up 3.7 percent to 1854.9 from 1788.9 for the Refinance Index. The refinance share of mortgage activity increased to 48 percent of total applications from 46.3 percent the previous week. The refinance share is at its highest level since February 2005. The adjustable-rate mortgage (ARM) share of activity decreased to 25.5 percent of total applications from 26.4 percent the previous week. The average contract interest rate for 30-year fixed-rate mortgages decreased to 6.15 percent from 6.24 percent, with points decreasing to 0.98 from 1.08 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans. The 30-year rate is at its lowest since January 2006. The average contract interest rate for 15-year fixed-rate mortgages decreased to 5.85 percent from 5.96 percent, with points increasing to 1.00 from 0.97 (including the origination fee) for 80 percent LTV loans. The average contract interest rate for one-year ARMs decreased to 5.87 percent from 5.89, with points decreasing to 0.78 from 0.8 (including the origination fee) for 80 percent LTV loans