Mortgage applications barely moved and started the year off increasing a meager 0.8%, according to the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending Jan. 13, 2017.
This report marks the first one of the year with no holiday adjustment since last week’s report included New Year’s Day.
Broken up, the Refinance Index increased 7% from the previous week, while the seasonally adjusted Purchase Index decreased 5% from one week earlier.
The refinance share of mortgage activity slightly increased to 53% of total applications from 51.2% 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 increased to 13.1% from 11.7% the week prior. The Veteran Affairs’ share of total applications decreased to 12.1% from 12.8% the week prior. The United States Department of Agriculture’s share of total applications remained unchanged at 0.9% from the week prior.
Notably, the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,000 or less) fell to its lowest level since December 2016, 4.27%, from 4.32%.
Similarly, the average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $424,000) decreased to 4.22% from 4.27%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 4.10% from 4.08%.
The average contract interest rate for 5/1 ARMs also increased, rising to 3.44% from 3.32%.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 3.51% from 3.56%.