Mortgage applications decreased 6.7 percent from one
week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Applications
Survey for the week ending October 18, 2024.The Market Composite Index, a measure of mortgage loan application volume, decreased 6.7 percent on
a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 7
percent compared with the previous week. The Refinance Index decreased 8 percent from the previous
week and was 90 percent higher than the same week one year ago. The seasonally adjusted Purchase
Index decreased 5 percent from one week earlier. The unadjusted Purchase Index decreased 5 percent
compared with the previous week and was 3 percent higher than the same week one year ago.“Mortgage rates saw mixed results last week, but the 30-year fixed rate remained unchanged at 6.52
percent. Application activity decreased to its lowest level since July, as both purchase and refinance
applications saw declines,” said Joel Kan, MBA’s Vice President and Deputy Chief Economist. “Purchase
applications continued to run stronger than last year’s pace for the fifth consecutive week. Even though
rates have been on a recent upswing, they are over a full percentage point lower than a year ago, which
has kept some homebuyers in the market. For-sale inventory has started to loosen, and home-price
growth has eased in some markets, providing more options for buyers in combination with these lower
rates.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances
($766,550 or less) remained unchanged at 6.52 percent, with points decreasing to 0.64 from 0.65
(including the origination fee) for 80 percent loan-to-value ratio (LTV) loans. The effective rate remained
unchanged from last week.
emphasis added
Click on graph for larger image.
The first graph shows the MBA mortgage purchase index.
According to the MBA, purchase activity is up 3% year-over-year unadjusted.
