Mortgage applications increased 0.7% from one week earlier for the week ending June 24, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey.
According to the MBA:
- The Market Composite Index, a measure of mortgage loan application volume, increased 0.7% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 20% from the previous week.
- The Refinance Index increased 2% from the previous week and was 80% lower than the same week one year ago.
- The seasonally adjusted Purchase Index increased 0.1% from one week earlier. The unadjusted Purchase Index decreased 21% compared with the previous week and was 24% lower than the same week one year ago
“Mortgage rates continue to experience large swings. After increasing 65 basis points during the past three weeks, the 30-year fixed rate declined 14 basis points last week to 5.84%. Rates are still significantly higher than they were a year ago, when the 30-year fixed rate was at 3.2%,” said Joel Kan, MBA’s associate vice president of economic and industry forecasting. “The decline in mortgage rates led to a slight increase in refinancing, driven by an uptick in conventional loans. However, refinances are still 80% lower than a year ago and over 60% below the historical average.”
The refinance share of mortgage activity increased to 30.3% of total applications from 29.7% the previous week.