Mortgage applications reversed course and increased 6.2% from one week earlier, according to data from the Mortgage Bankers Association’s weekly mortgage applications survey for the week ending Nov. 13. The results include an adjustment for the Veterans Day holiday.
This is compared to a 1.3% drop last week.
While the refinance index increased 2% from the previous week, the seasonally adjusted purchase index surged 12% from one week earlier.
Overall, the refinance share of mortgage activity decreased to 58.6% of total applications, down from 59.8% the previous week. The adjustable-rate mortgage (ARM) share of activity dipped to 6.3% of total applications.
The Federal Housing Administration share of total applications increased to 14.4%, up from 14.1% the week prior. The Veterans Affairs share of total applications increased to 11.7%, up from 10.9% the week prior. The Department of Agriculture's share of total applications remained unchanged from 0.7% the week prior.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) increased to 4.18%, reaching the highest level since July 2015, from 4.12%.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) increased to 4.05% from 4.04%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 3.90% from 3.87%.
The average contract interest rate for 15-year fixed-rate mortgages increased to 3.40%, up from 3.35%. This is its highest level since July 2015.
The average contract interest rate for 5/1 ARMs decreased to 3.18%, down from 3.22%.
For added perspective on the status of the housing market, according to the latest data from a la mode, inc., appraisal volume once again moved slightly lower and fell 0.3% for the second week of November.