Mortgage application volume increased 3.2 percent on a seasonally adjusted basis (2.8 percent unadjusted) for the week ending November 6, according to the latest weekly survey from the Mortgage Bankers Association.
Fortunately, interest rates have remained low enough to support refinancing, as the associated index jumped 11.3 percent compared with one week earlier.
Unfortunately, the seasonally adjusted purchase index slipped 11.7 percent to its lowest point since December 2000!
The unadjusted purchase index fell 13.7 percent compared with the previous week and was 21.6 percent lower than the same week a year ago.
I guess this is the big argument for the extension of the homebuyer tax credit, and probably the one time the MBA had no problem pointing out some very weak numbers.
The refinance share of mortgage activity increased to 71.5 percent of total applications from 66.1 percent a week earlier, the highest share since May of this year.
The popular 30-year fixed averaged 4.90 percent, down from 4.97 percent, its lowest point since May when it stood at 4.69 percent.
The 15-year fixed remained unchanged at 4.33 percent, while the one-year adjustable-rate mortgage climbed two basis points to 6.85 percent.
The ARM-share of total mortgage activity decreased to 5.5 percent of applications from 6.1 percent a week earlier.
The MBA’s weekly survey, conducted since 1990, covers more than half of all retail, residential mortgage applications, but does not factor out multiple or declined apps.
Related Topics:
