Mortgage applications rose 4.9% last week as refinancing activity and home purchases both increased, an industry trade group said. The Mortgage Bankers Association said the refinance index climbed 4.4% from the previous week, while the seasonally adjusted purchase index jumped 6.4%. Refinancing applications accounted for 77.3% of all mortgage applications, which is essentially unchanged from 77.6% a week earlier. Activity related to the adjustable-rate mortgage increased to 5.9% of total applications, up from 5.8%. Investors accounted for 6% of mortgage application activity in September, which is a 5.7% increase from August. “This change was led by an increase in the Mountain region,” the MBA wrote. “In addition, the share of purchase mortgages for second homes decreased to 5.8 percent in September from 6% in August.” The average 30-year, fixed-rate mortgage with a loan balance of $417,500 or less remained unchanged at 4.33%. Meanwhile, the average contract interest rate for the 30-year, FRM with jumbo loan balances increased to 4.68% from 4.64%. The average interest rate on a 30-year, FRM backed by the FHA fell to 4.11% from 4.12%, while the 15-year, FRM increased to 3.62% from 3.61%. In addition, the average contract interest rate for 5/1 ARMs increased to 3.11% from 3.08%. Write to Kerri Panchuk.

About the Author

Most Popular Articles

Housing market flashing recession signal

The housing market is signaling there will be an economic recession by the 2020 election, according to Benn Steil, director of international economics at the Council on Foreign Relations.

Oct 11, 2019 By

Latest Articles

Foreclosure activity drops to lowest level since 2005

Foreclosure activity sank in the third quarter of 2019, dropping to the lowest level in nearly 15 years, according to the latest report from ATTOM Data Solutions. Foreclosure activity in the third quarter fell 19% from a year ago to the lowest level since the second quarter of 2005, a 13-year low.

Oct 16, 2019 By