Mortgage apps surge: MBA
WASHINGTON (9/24/15)--Mortgage application volume jumped 13.9% on a seasonally adjusted basis for the week ended Sept. 18 versus the earlier week, according to the Mortgage Bankers Association (MBA).
The previous week had an adjustment for the Labor Day holiday.
On an unadjusted basis, the index surged 26% from the previous week. The Refinance Index jumped 18% in the same period.
The seasonally adjusted Purchase Index increased 9% from one week earlier to its highest level since June 2015. The unadjusted Purchase Index spiked 20% compared with the previous week and was 27% higher than the same week one year ago.
"We saw significant rate volatility last week surrounding the Federal Open Market Committee meeting, and rate declines toward the end of the week likely drove applications from both prospective home buyers and borrowers looking to refinance,” said Mike Fratantoni, MBA's chief economist. “The 30-year fixed rate remained unchanged over the week even though there was substantial intra-week fluctuation, but we saw rate decreases in other loan products like the 15-year fixed, 5/1 adjustable rate mortgage (ARM), and 30-year jumbo.”
The refinance share of mortgage activity increased to 58.4% of total applications from 56.2% the previous week. The ARM share of activity increased to 6.9% of total applications.