It may be small, but the latest mortgage application increase is still larger compared to the past several weeks.
According to the most recent Mortgage Bankers Association Weekly Mortgage Application report for the week ending Sept. 9, 2016, mortgage applications increased 4.2% from one week earlier.
However, this week’s results did include an adjustment for the Labor Day holiday.
All together though, these adjustments are still very minor.
Broken up, the Refinance Index increased 2% from the previous week, while the seasonally adjusted Purchase Index increased 9% from one week earlier.
The refinance share of mortgage activity ticked down to to 62.9% of total applications from 64% the previous week. The adjustable-rate mortgage share of activity increased to 4.6% of total applications.
The Federal Housing Administration’s share of total applications slightly increased to 9.6% from 9.5% the week prior. The Veteran Affairs’ share of total applications increased to 12% from 11.9% the week prior, as the United States Department of Agriculture’s share of total applications barely increased to 0.7% from 0.6% the week prior.
As far mortgage rates go, the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) decreased to 3.67% from 3.68%.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) decreased to 3.64% from 3.66%.
In addition, the average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased to 3.50% from 3.52%, while the average contract interest rate for 15-year fixed-rate mortgages increased to 2.97% from 2.96%.
The average contract interest rate for 5/1 ARMs remained unchanged at 2.87%.