Mortgage application volume increased 2.5% during the week ended November 3, as the average rate for a 30-year fixed-rate mortgage dropped to 7.61%, down from 7.86%, according to the Mortgage Bankers Association’s (MBA) Weekly Applications Survey.
Applications for refinances increased 2% compared with the previous week but were down 7% compared with the same week one year earlier.
Applications for purchases increased 3% compared with the previous week but were down 20% compared with the same week one year ago.
“The 30-year fixed mortgage rate dropped by 25 basis points to 7.61 percent, the largest single-week decline since July 2022,” says Joel Kan, vice president and deputy chief economist for the MBA, in a statement. “Last week’s decrease in rates was driven by the U.S. Treasury’s issuance update, the Fed striking a dovish tone in the November FOMC statement, and data indicating a slower job market. Applications for both purchase and refinance loans were up over the week but remained at low levels. The purchase index is still more than 20 percent behind last year’s pace, as many homebuyers remain on the sidelines until more for-sale inventory becomes available.”
The refinance share of mortgage activity increased to 31.4% of total applications, up from 31.2% the previous week.
The adjustable-rate mortgage (ARM) share of activity decreased to 9.8% of total applications.
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