bee Calculated Risk On 2/19/2025 07:00 AM AM
From the MBA: Mortgage Applications Decrease in Latest MBA Weekly Survey
Mortgage applications decreased 6.6 PERCENT FROM ONE WEEK Earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the Week Ending February 14, 2025.
The Market Composite Index, A Measure of Mortgage Loan Application Volume, decreased 6.6 Percent on a seasonally Adjusted base from one week earlier. On an unadjusted base, the index decreased 4 percent compared with the previous week. The Refinance Index decreased 7 percent from the previous week and was 39 percent higher than the same week one year ago. The Seasonally Adjusted Purchase Index Decreased 6 Percent from One Week Earlier. The Unadjusted Purchase Index Decreased 1 Percent Compared with the Previous Week and Was 7 PERCENT HIGHER THAN THE SAME WEEK ONE YEAR AGO.
“Mortgage rates decreased on average over the week, as markets brushed off unexpectedly strong inflation data. Despite mortgage rates declining, with the 30-year fixed mortgage rate dropping to 6.93 percent, mortgage applications decreased to their slow pace since the start of the year, ”Said Joel can, MBA’s vice President and Deputy Chief Economist. “Purchase applications were down for the week, as buyers remained on the fence, although loosening inventory may help support activity in the coming months. Refinance applications had bone rising in previous weeks but dipped as rates remained close to 7 percent. ”
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The Average Contract Interest Rate for 30-Year Fixed-Rate Mortgages with Conforming Loan Balances ($ 766,550 or less) decreased to 6.93 Percent from 6.95 percent, with points increasing to 0.66 from 0.64 (including the Origination Fee) for 80 percent) Value Ratio (Ltv) loans.
Emphasis added
Click on graph for larger image.
The first graph shows the MBA Mortgage Purchase Index.
According to the MBA, Purchase Activity is up 7% year-over-year unadjusted.
Red is a four-week average (Blue is Weekly).
Purchase Application Activity is up about 15% from the lows in late October 2023 and is now 5% below the lowest levels during the housing bust.
The refinance index remains very low.