According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates were mostly flat last week from one week earlier. Rates for 30-year fixed-rate loans with conforming balances, FHA loans, and 15-year fixed-rate loans were virtually unchanged week-over-week, while rates for jumbo loans and 5/1 ARMs saw increases. Joel Kan, MBA’s vice president and deputy chief economist, says mortgage demand was lower last week but remains significantly higher than last year’s level. “Mortgage applications were lower than the week before, as conventional and VA applications saw declines,” Kan said. “Purchase applications declined for the third consecutive week but remained 20 percent ahead of last year’s pace as improving inventory conditions in certain markets continue to maintain home buyer interest.” Similarly, refinance activity is currently 59 percent higher than last year at the same time. The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. (source)
