Posted by OR on 3/28/12 10:30am
Msg #416320

From Rate lock...Mortgage applications

Mortgage applications decreased 2.7% from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending March 23, 2012. The Refinance Index decreased 4.6% from the previous week. The Refinance Index has decreased for six consecutive weeks, falling to its lowest level since December, and is 24.2% lower than its 2012 peak observed in February. The decline in the Refinance Index this week was driven largely by a 12.0% drop in government refinance activity, while conventional refinance applications fell by less, decreasing 3.4% from the previous week. The four week moving average for the seasonally adjusted Market Index is down 3.40%. The four week moving average is up 2.14% for the seasonally adjusted Purchase Index, while this average is down 4.94% for the Refinance Index. The refinance share of mortgage activity decreased to 71.9% of total applications, the lowest level since July 2011, from 73.4% the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 5.4% from 5.6% of total applications from the previous week. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,500 or less) increased to 4.23%, the highest rate since November 2011, from 4.19%, with points decreasing to 0.45 from 0.47 (including the origination fee) for 80% loans. The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,500) increased to 4.54%, the highest since rate December 2011, from 4.49%, with points increasing to 0.46 from 0.38 (including the origination fee) for 80% loans. The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 3.96% from 3.93%, with points increasing to 0.52 from 0.48 (including the origination fee) for 80% loans. The average contract interest rate for 15-year fixed-rate mortgages increased to 3.50%, the highest rate since December 2011, from 3.47%, with points increasing to 0.42 from 0.40 (including the origination fee) for 80% loans. The average contract interest rate for 5/1 ARMs increased to 3.00%, the highest since rate December 2011, from 2.90%, with points decreasing to 0.42 from 0.44 (including the origination fee) for 80% loans.