MBA: Mortgage Application Volume Jumped 5.8%

Mortgage application volume increased 5.8% on an adjusted basis during the week ended Feb. 24, according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey.

The estimate includes an adjustment for the Presidents’ Day holiday on Feb. 20.

Applications for refinances increased 5.0% compared with the previous week, as rates fell, while applications for purchases increased 7.0%.

On an unadjusted basis, total volume decreased 3.0% compared with the previous week. Applications for purchases decreased 1.0% and decreased 5.0% compared with the same week one year earlier, which did not include the Presidents’ Day holiday.

The refinance share of mortgage activity decreased to 45.1% of total applications – down from 46.2% to reach the lowest level since November 2008.

The average rate for a 30-year, fixed-rate mortgage (FRM) was 4.30%, down from 4.36% the previous week.

The average rate for a 30-year jumbo FRM was 4.23%, down from 4.29%.

The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) was 4.07%, down from 4.14%.

The average rate for a 15-year FRM was 3.51%, down from 3.56%.

The average rate for a 5/1 adjustable-rate mortgage (ARM) was 3.35%, up from 3.31%.

The ARM share of activity remained unchanged at 7.3% of total applications.

About 12.3% of total applications were for mortgages backed by the FHA – down from 11.6% the week prior. The Veterans Affairs share was 11.7%, down from 12.1%, while the U.S. Department of Agriculture share remained unchanged at 0.9%.


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