by Bill McBride on 3/17/2010 08:03:00 AM
Wednesday, March 17, 2010
The MBA reports: Mortgage Applications Decrease in Latest MBA Weekly Survey
The Market Composite Index, a measure of mortgage loan application volume, decreased 1.9 percent on a seasonally adjusted basis from one week earlier. ...Click on graph for larger image in new window.
The Refinance Index decreased 1.7 percent from the previous week and the seasonally adjusted Purchase Index decreased 2.3 percent from one week earlier. ...
The refinance share of mortgage activity increased to 67.3 percent of total applications from 67.2 percent the previous week. ...
The average contract interest rate for 30-year fixed-rate mortgages decreased to 4.91 percent from 5.01 percent, with points increasing to 1.30 from 0.82 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans. This is the lowest 30-year fixed-rate observed in the survey since mid-December of 2009, yet the effective rate was unchanged from last week due to the significant increase in points.
This graph shows the MBA Purchase Index and four week moving average since 1990.
Even with mortgage rates below 5%, the 4 week average of the purchase index is still at the levels of 1997.
Posted by Bill McBride on 3/17/2010 08:03:00 AM