Mortgage Application Volume Down Slightly In Latest MBA Survey
March 22, 2006
The Mortgage Bankers Association (MBA) Weekly Mortgage Applications Survey for the week ending March 17 found that the Market Composite Index — a measure of mortgage loan application volume was 565.0 – a decrease of 1.6 percent on a seasonally adjusted basis from 574.4 one week earlier. On an unadjusted basis, the Index decreased 1.6 percent compared with the previous week but was down 13.8 percent compared with the same week one year earlier.
The seasonally-adjusted Purchase Index decreased by 2.3 percent to 393.6 from 403.0 the previous week whereas the Refinance Index decreased by 0.6 percent to 1574.5 from 1583.6 one week earlier. Other seasonally adjusted index activity includes the Conventional Index, which decreased 1.4 percent to 833.4 from 845.2 the previous week, and the Government Index, which decreased 4.4 percent to 117.4 from 122.8 the previous week.
The four week moving average for the seasonally-adjusted Market Index is down 0.2 percent to 574.0 from 575.3. The four week moving average is down 0.4 percent to 401.5 from 401.9 for the Purchase Index while this average is down 0.2 percent to 1588.8 from 1593.4 for the Refinance Index.
The refinance share of mortgage activity increased to 38.1 percent of total applications from 37.7 percent the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 28.3 percent of total applications from 28.8 percent the previous week.
The average contract interest rate for 30-year fixed-rate mortgages decreased to 6.31 percent from 6.42 percent, with points decreasing to 1.13 from 1.14 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 5.99 percent from 6.06 percent, with points decreasing to 1.09 from 1.19 (including the origination fee) for 80 percent LTV loans.
The average contract interest rate for one-year ARMs increased to 5.68 percent from 5.64 percent, with points decreasing to 0.86 at 0.96 (including the origination fee) for 80 percent LTV loans.