The Real Deal New York

U.S. mortgage applications fall, rates rise

Mortgage applications decreased 4.8 percent during the week ending October 26, the Mortgage Bankers Association announced today. The MBA measures mortgage loan application volume on a seasonally adjusted basis. On an unadjusted basis, application dropped 5 percent compared with the previous week.

The Refinance Index also decreased 6 percent — reaching its lowest level since the end of August – but the seasonally adjusted Purchase Index grew 1 percent from one week earlier. However, unadjusted, the Purchase Index fell 0.3 percent from last week, and was 6 percent higher year-over-year.The share of refinancing activity decreased to 80 percent of total applications, compared to 81 percent the prior week. The adjustable-rate mortgage share of activity held at 4 percent of applications.

Interest rates for 30-year fixed-rate loans with conforming balances rose to 3.65 percent from 3.63 percent — the highest level since mid-September. Jumbo loans increased to 3.94 percent from 3.85 percent. Rates for Federal Housing Administration-backed 30-year fixed-rate loans stayed at 3.41 percent, the same as last week, and 15-year fixed-rate loan rates decreased to 2.95 percent from 2.96 percent. —Christopher Cameron