Total mortgage demand was up slightly for the week with a 0.7% increase but this is now the third week in a row that demand has gone up, according to the Mortgage Bankers Association’s weekly survey…(MBA)
- PURCHASES: The Purchase Index was up barely for the week with a 0.1% gain, this, however, is down 24% from the same time last year.
- REFIS: The Refinance index was positive for the week with a 2.0% gain but is now down 80% when compared to the same time last year.
NOTE: The refinance share of mortgage activity increased to 30.3% of total applications from 29.7% the previous week and adjustable rates decreased to 10.1% of total applications.
Mortgage rates actually saw a slight reversal for the first time in four weeks with the 30-year fixed falling 15 basis points to 5.84% for the week ending June 24th. This is 260 basis points higher than one year ago…
- The 15-year fixed rate was up one basis point to 5.06% and a 5/1 ARM fell 14 basis points to 4.64%.
Joel Kan, an MBA economist, said the average purchase loan amount has declined again thanks to rising home prices and elevated rates…
- “Overall purchase activity has weakened in recent months due to the quick jump in mortgage rates, high home prices, and growing economic uncertainty…The average purchase loan amount declined to $413,500, which highlights an ongoing downward trend seen since it hit a record $460,000 in March 2022.”