Mortgage applications decreased 2.3 percent from one
week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage
Applications Survey for the week ending February 9, 2024.The Market Composite Index, a measure of mortgage loan application volume, decreased 2.3 percent on
a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 2
percent compared with the previous week. The Refinance Index decreased 2 percent from the previous
week and was 12 percent higher than the same week one year ago. The seasonally adjusted Purchase
Index decreased 3 percent from one week earlier. The unadjusted Purchase Index increased 4 percent
compared with the previous week and was 12 percent lower than the same week one year ago.“Application activity was weaker last week, as mortgage rates moved higher across the board. The 30-
year fixed mortgage rate was up to 6.87 percent – the highest rate since early December 2023,” said Joel
Kan, MBA’s Vice President and Deputy Chief Economist. “Purchase applications remained subdued as
elevated rates continue to add to affordability challenges along with still-low existing housing inventory.
Refinance applications declined and remained depressed, with rates still higher than a year ago.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances
($766,550 or less) increased to 6.87 percent from 6.80 percent, with points increasing to 0.65 from 0.59
(including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.
emphasis added
Click on graph for larger image.
The first graph shows the MBA mortgage purchase index.
According to the MBA, purchase activity is down 12% year-over-year unadjusted.
