Overall mortgage applications dropped 5.1 percent last week on a seasonally adjusted basis from the week before, with purchase loans taking the biggest hit, the Mortgage Bankers Association reported.
The seasonally adjusted purchase index decreased by 8 percent to 435.7 from 473.7 the previous week whereas the refinance index decreased by 1.5 percent to 1,747.2 from 1,773.9 one week earlier.
The refinance share of mortgage activity increased to 43 percent of total applications from 42.8 percent the previous week. The adjustable-rate-mortgage share of activity increased to 30.5 percent of total applications from 29.5 percent the previous week.
The average contract interest rate for 30-year fixed-rate mortgages increased to 6.2 percent from 6.04 percent one week earlier. Points including the origination fee decreased to 1.17 from 1.24 for 80 percent loan-to-value ratio loans.
The average contract interest rate for 15-year fixed-rate mortgages increased to 5.79 percent from 5.66 percent. Points including the origination fee increased to 1.22 from 1.14 for 80 percent loan-to-value ratio loans.
The average contract interest rate for one-year adjustable-rate mortgages increased to 5.48 percent from 5.44 percent one week earlier, with points increasing to 0.96 from 0.95 for 80 percent loan-to-value ratio loans.
Washington, D.C.-based Mortgage Bankers Association is a national association representing the real estate finance industry. The survey covers approximately 50 percent of all U.S. retail residential mortgage originations, and has been conducted weekly since 1990. Respondents include mortgage bankers, commercial banks and thrifts.
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