It was another quiet week for mortgage applications despite it being peak-buying season, reiterating other industry reports that Spring is yet to sprung.
Mortgage applications slightly increased 0.4% from one week earlier, according to data from the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending May 6.
The Refinance Index increased 0.5% from the previous week, while the seasonally adjusted Purchase Index increased 0.4% from one week earlier.
The refinance share of mortgage activity fell further, sinking to 52.8% of total applications from 52.9% the previous week. The adjustable-rate mortgage share of activity increased to 5.7% of total applications.
The Federal Housing Administration’s share of total applications marginally decreased to 13% from 13.5% the week prior. The Veteran Affairs’ share of total applications increased to 11.7% from 11.5% the week prior, as the United States Department of Agriculture’s share of total applications remained unchanged at 0.7%
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) declined to 3.82% from 3.87%, marking its lowest level since April 2016.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) fell to 3.74% from 3.79%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased to 3.64% from 3.69%.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 3.06% from 3.13%, while the average contract interest rate for 5/1 ARMs increased to 2.93% from 2.91%.