Mortgage Applications Increase in Latest MBA Survey
December 18, 2002
Fixed Mortgage Rates Decrease
WASHINGTON, D.C. (December 18, 2002) - The Market Composite Index of mortgage loan applications -- a measure of mortgage loan applications for purchases and refinancings -- for the week ending December 13 increased 14.2 percent to 985.5 on a seasonally-adjusted basis from 862.7 the previous week, according to the Weekly Mortgage Applications Survey of the Mortgage Bankers Association of America (MBA), which was released today. On an unadjusted basis, the Index increased 14.0 percent and was up 83.1 percent compared to the same week a year earlier.
The MBA seasonally adjusted Purchase Index increased to 379.9 from 358.8 the previous week. The seasonally adjusted Refinance Index increased to 4507.6 from 3793.8 the previous week. Other seasonally adjusted index activity included the Conventional Index, which increased to 1415.5 from 1237.5 the previous week. The Government Index increased to 267.8 from 237.2 the previous week.
Refinancing activity represented 73.0 percent of total applications, increasing from 70.0 percent the previous week. The share of ARM activity decreased to 14.1 percent from 14.4 percent the previous week.
The average contract interest rate for30-year fixed rate mortgages decreased to 5.91 percent from 5.95 percent the previous week, with points increasing to 1.50 from 1.42 the previous week (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.
The average contract interest rate for15-year fixed rate mortgages decreased to 5.26 percentfrom 5.34 percent the previous week, with points increasing to 1.50 from 1.30 the previous week (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.
The average contract interest rate for1-year ARMs remained the same as the previous week at 3.79 percent, with points increasing slightly to 1.09 from 1.07 the previous week (including the origination fee) for 80 percent LTV loans.
Source: Mortgage Bankers Association