News


Mortgage applications down 4.8% for last week in February

Interest rate for jumbo loan drops to 3.75%

Mortgage applications decreased 4.8% for the week ending Feb. 26 from a week earlier, according to data from the Mortgage Bankers Association. The previous week's results included an adjustment for the President's Day holiday.

The Market Composite Index, a measure of mortgage loan application volume, decreased 4.8% on a seasonally adjusted basis from one week earlier. The Refinance Index decreased 7% from the previous week, reaching its lowest levels since January 2016.

The refinance share of mortgage activity decreased to its lowest level since January 2016, 58.6% of total applications, from 61.0% the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 5.6% of total applications.

The FHA share of total applications remained unchanged from 12.0% the week prior. The VA share of total applications decreased to 12.1% from 13.0% the week prior. The USDA share of total applications remained unchanged from 0.7% the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) decreased to 3.83% from 3.85%, with points decreasing to 0.39 from 0.42 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate decreased from last week.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) decreased to 3.75% from 3.80%, with points increasing to 0.31 from 0.25 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased to 3.67% from 3.72%, with points decreasing to 0.40 from 0.45 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.

However, the average contract interest rate for 15-year fixed-rate mortgages increased to 3.13% from 3.12%, with points decreasing to 0.31 from 0.40 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.

The average contract interest rate for 5/1 ARMs decreased to 3.02% from 3.07%, with points increasing to 0.31 from 0.30 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.

The survey covers over 75% of all U.S. residential mortgage applications.

We can't do it without you.
Support local journalism.

Comments

Sorry, but further commenting on this topic has been closed.

Don't be the last to know

Get the latest headlines sent straight to your inbox every day.

Couples: "When Good People Have Affairs" by Mira Kirshenbaum
By Chandrama Anderson | 0 comments | 2,098 views

One of Pleasanton's "characters" passes on
By Tim Hunt | 3 comments | 864 views