Mortgage applications fall 8.1% as rates rise
The nation's volume of mortgage applications fell 8.1% for the week ending Jan. 25 as mortgage rates ticked higher, an industry trade group said Wednesday.
The refinance share of mortgage activity declined to 79% of total applications, down from 82% the previous week, according to the Mortgage Bankers Association.
The index measuring refinancing activity declined 10% in one week, while the purchase index edged down 2%.
The average contract interest rate for a 30-year, FRM with a conforming loan balance increased to 3.67%, the highest level reached since Sept. 2012. That rate also is up from 3.62% a week earlier.
Meanwhile, the 30-year, FRM with a jumbo loan balance grew to 3.95% from 3.85%, while the average 30-year backed by the FHA increased to 3.48% from 3.40%.
In addition, the 15-year, FRM increased to 2.95% from 2.87% as the 5/1 ARM became the only rate to fall last week, declining to 2.60% from 2.61%.