As interest rates decline, applications leap

March 27, 2013 11:00AM

The number of mortgage applications for the week ending March 27, 2013  increased 7.7 percent on a seasonally adjusted basis from one week earlier, the Mortgage Bankers Association announced today. On an unadjusted basis, the Index increased 8 percent compared with the previous week.

The Refinance Index decreased 8 percent from the previous week and the seasonally adjusted Purchase Index decreased 4 percent from one week earlier. Unadjusted, the Purchase Index decreased 3 percent compared with the previous week and was 6 percent higher than the same week one year ago.

The refinance share of mortgage held at 75 percent of total applications. The adjustable-rate mortgage share of activity held at 5 percent of total applications.

Interest rates for 30-year fixed-rate loans with conforming balances decreased to 3.79 percent from 3.82 percent. Interest rates for jumbo loans also decreased to 3.9 percent from 3.95 percent. Rates for Federal Housing Administration-backed 30-year fixed-rate loans decreased to 3.51 percent from 3.53 percent and 15-year fixed-rate mortgages stayed at 3.02 percent. —Christopher Cameron