According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates were mixed last week. Rates increased from the week before for 30-year fixed-rate loans with conforming balances, jumbo loans, and FHA loans but fell for 15-year fixed-rate loans and 5/1 ARMs. Joel Kan, MBA’s vice president and deputy chief economist, says rates remain close to a more than one-year low. “The 30-year fixed rate was mostly unchanged … and remained close to the lowest level in over a year,” Kan said. “Despite a decline last week, refinance applications are still significantly higher than a year ago. The average loan size for refinance applications was at its highest level in six weeks, as borrowers with larger loans continued to seek ways to lower their monthly payments.” Demand for loans to buy homes was just 1 percent lower than the week before and is now 26 percent higher than the same week one year ago. The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. (source)
