After increasing 11.8% the previous week, mortgage application volume decreased 3.5% on an adjusted basis during the week ended Oct. 23, according to the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.
Applications for refinances decreased 4%, on an adjusted basis, while applications for purchases decreased 3%.
On an unadjusted basis, volume increased 7% compared with the previous week.
Applications for purchases increased 7%, on an unadjusted basis, compared with the previous week and were 23% higher compared with the same week one year ago.
The refinance share of mortgage activity remained unchanged at 59.5% of total applications.
The average rate for a 30-year fixed-rate mortgage (FRM) with conforming loan balance ($417,000 or less) was 3.98%, up from 3.95% the previous week.
The average rate for a 30-year FRM with jumbo loan balance (greater than $417,000) was 3.88%, up from 3.87%.
The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) was 3.80%, up from 3.78%.
The average rate for a 15-year FRM was 3.22%, up from 3.20%.
The average rate for a 5/1 adjustable-rate mortgage (ARM) was 3.03%, up from 2.94%.
The ARM share of activity decreased to 6.6% of total applications.
Looking at volume by loan type, applications for FHA loans decreased to 13.7% of all applications, down from 14.3% the week prior. Applications for Veterans Affairs-backed loans decreased to 12.3% of all loans, down from 12.7% the week prior. The U.S. Department of Agriculture share of applications increased to 0.7% from 0.6%.
All rates are based on closings.