Well the latest refinance rally was rather short-lived.
Mortgage loan application volume slipped 10.6 percent on a seasonally adjusted basis for the week ending September 19, according to the MBA.
On an unadjusted basis, the application index was down 11.1 percent compared to one week earlier and off 9.3 percent from year-ago levels.
The decrease was led by an 11.2 percent drop in refinance applications, which a week earlier saw a near-90 percent gain.
Purchase and FHA loan applications also faltered, sliding 10.0 percent and 8.9 percent, respectively, from a week earlier.
And it’s no wonder, with interest rates erasing virtually all of their progress from the past few weeks.
The 30-year fixed averaged 6.08 percent, up from 5.82 percent last week, while the 15-year jumped 30 basis points to 5.84 percent.
The one-year adjustable-rate mortgage continued its unfavorable path, rising six basis points to 7.01 percent.
Both the refinance and ARM share of total mortgage activity remained unchanged from a week earlier, at 51.6 percent and 4.0 percent, respectively.
The MBA survey, conducted since 1990, covers about half of all retail loan originations, but does not account for multiple or declined applications.
(photo: kchbrown)
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