MBA: Refis Drive Mortgage Application Volume Up 2.9%

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Mortgage application volume increased 2.9% during the week ended June 17, according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey.

Applications for refinances increased 7% on lower rates, while applications for purchases decreased 2%.

On an unadjusted basis, total volume increased 2% compared with the previous week. Applications for purchases decreased 4% compared with the previous week, on an unadjusted basis, and increased 12% from the same week one year ago.

The refinance share of mortgage activity was 57.7% of total applications – up from 55.3% the previous week.

The average rate for 30-year, fixed-rate mortgage (FRM) was 3.76%, down from 3.79%.

The average rate for 30-year jumbo FRM was 3.70%, down from 3.75%.

The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) remained unchanged at 3.61%.

The average rate for a 15-year FRM was 3.04%, down from 3.06%.

The average rate for a 5/1 adjustable-rate mortgage (ARM) was 2.92%, up from 2.87%.

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

Looking at volume by loan type, applications for mortgages backed by the FHA represented about 11.7% of all applications – down from 11.8% the week prior. The Veterans Affairs share of total applications remained unchanged at 11.1%, and the U.S. Department of Agriculture share of total applications remained unchanged at 0.6%.

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