Mortgage applications increased 0.5 percent from one
week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage
Applications Survey for the week ending November 8, 2024.The Market Composite Index, a measure of mortgage loan application volume, increased 0.5 percent on
a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 2
percent compared with the previous week. The Refinance Index decreased 2 percent from the previous
week and was 43 percent higher than the same week one year ago. The seasonally adjusted Purchase
Index increased 2 percent from one week earlier. The unadjusted Purchase Index decreased 2 percent
compared with the previous week and was 1 percent higher than the same week one year ago.“Mortgage rates continued to increase last week, driven by higher Treasury yields as financial markets
digested the likely impacts of a Trump presidency. The Federal Reserve’s 25-basis-point rate cut was
already anticipated and did little to move the markets,” said Joel Kan, MBA’s Vice President and Deputy
Chief Economist. “The 30-year fixed rate was at 6.86 percent last week, its highest since July 2024.
However, despite the increase in rates, applications increased for the first time in seven weeks.”Added Kan, “Purchase applications picked up and remained close to levels from a year ago. FHA and VA
purchase applications drove the stronger overall purchase activity, increasing 3 percent and 9 percent,
respectively. FHA mortgage rates bucked the overall trend and were lower over the week, which likely
helped some borrowers. Conventional purchase applications were also up slightly. Meanwhile, the
upward climb in rates led to refinance activity falling to its lowest level since May 2024.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances
($766,550 or less) increased to 6.86 percent from 6.81 percent, with points decreasing to 0.60 from 0.68
(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 up 1% year-over-year unadjusted.
