Mortgage Applications Jumped 2.0% Last Week

Mortgage applications were up 2.0% last week thanks to a big jump in refis, according to the weekly survey from the Mortgage Bankers Association…(MBA)

  • REFINANCE applications saw demand jump 9.0% last week, but were still down 37% when compared to the same week last year.
  • PURCHASE applications actually fell 5.0% last week after four straight weeks of increases and were down 8.0% when compared to the same week last year.

Mortgage rate saw a slight decline for the first time in four weeks…

  • 30-YR FIXED average contract interest rate fell one basis point to 3.30% which is 38 basis points higher than the same time one year ago.
  • 15-YR FIXED average contract interest also fell one basis point to 2.62% which is 9 basis points higher than the same time one year ago.

Joel Kan, MBA’s Associate Vice President of Economic and Industry Forecasting, said that despite the slight drop in purchases, that part of the market remains very strong…

  • “The purchase market was slower last week, with applications falling after four consecutive increases. Activity is still close to the highest level since March 2021, which is a positive sign as the year comes to an end. Purchase activity continues to be constrained by a lack of inventory, combined with rapid rates of home-price appreciation and mortgage rates higher than in 2020.”