MBA: Mortgage Application Volume Fell 2.3%

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Mortgage application volume decreased 2.3% on an adjusted basis during the week ended April 24, compared to the previous week, according to the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.

Interestingly, the decrease of 2.3% comes after volume increased 2.3% the previous week and fell 2.3% the week before that.

On an unadjusted basis, volume fell 2%.

Applications for refinances decreased 4% while applications for purchases were unchanged from the previous week.

On an unadjusted basis, applications for purchases increased 1% compared with the previous week and were 21% higher compared to the same week one year ago.

The refinance share of mortgage activity decreased to 55% of total applications, down from 56% the previous week.

The drop in applications for refinances came as fixed mortgage rates inched back up.

The average rate for a 30-year fixed-rate mortgage (FRM) with conforming loan balance ($417,000 or less) was 3.85%, up from 3.83% the previous week.

The average rate for a 30-year FRM with jumbo loan balance (greater than $417,000) was 3.82%, down slightly from 3.83% the week prior.

The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) was 3.66%, up slightly from 3.65%.

The average rate for a 15-year FRM was 3.14%, up from 3.11%.

The average rate for 5/1 adjustable-rate mortgage (ARM) was 2.88%, down from 2.89%.

The ARM share of activity increased to 5.7% of total applications.

The average loan size for purchase applications rose to a survey high of $297,000, the MBA reports.

Looking at volume by loan type, applications for mortgages backed by the FHA represented 13.7% of all applications, up from 13.6% the previous week. Applications for Veterans Affairs mortgages represented 11.3% of all loans, up from 11.0% the previous week. Applications for mortgages through the U.S. Department of Agriculture were unchanged at 0.8%.

All rates are based on closings. The survey covers over 75% of all U.S. retail residential mortgage applications.

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