Mortgage applications jumped 16.8 percent during the week ending Oct. 24 from the previous week, but applications were down 30 percent from a year ago, the Mortgage Bankers Association said.
The MBA’s Weekly Mortgage Applications Survey showed applications for refinance loans up 28.5 percent from a week ago, while applications for purchase loans rose a more modest 8.5 percent. Applications for government-backed purchase loans, largely FHA, were up by 10.1 percent, compared with a 7.9 percent increase in applications for conventional purchase loans.
Applications for refinancings accounted for 46.9 percent of total applications, up from 42.6 percent the previous week. The adjustable-rate mortgage (ARM) share of total applications decreased to 1.9 percent, down from 2.7 percent the previous week.
The average contract interest rate for 30-year fixed-rate mortgages decreased to 6.26 percent from 6.28 percent, with points including the origination fee increasing to 1.1 from 1.09 for 80 percent loan-to-value (LTV) ratio loans.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 6.01 percent from 6.05 percent, with points increasing to 1.15 from 1.11 for 80 percent LTV loans.
The average contract interest rate for one-year ARMs decreased to 6.9 percent from 6.97 percent, with points decreasing to 0.21 from 0.4 for 80 percent LTV loans.
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