Industry News

Real estate purchases jump despite rising interest rates

Adjustable-rate share of loan activity dips

Overall mortgage applications increased by 4.4 percent last week on a seasonally adjusted basis, despite rising interest rates, according to the Mortgage Bankers Association's weekly survey. The MBA seasonally adjusted purchase index increased by 4.1 percent to 482.5 from 463.5 the previous week. The seasonally adjusted refinance index increased by 4.7 percent to 2,516 from 2,403 one week earlier. The refinance share of mortgage activity remained unchanged at 44 percent of total applications. The adjustable-rate-mortgage share of activity decreased to 32.1 percent of total applications from 32.7 percent one week earlier. The average contract interest rate for 30-year fixed-rate mortgages increased to 6.1 percent from 6.01 percent one week earlier. Points including the origination fee increased to 1.38 from 1.28 the previous week for 80 percent loan-to-value ratio loans. The average contract interest rate for 15-year fixed-rate mortgages increased to 5.44 percent from 5.27 percent th...