Mortgage Applications Increase in the Week Ending February 2nd

According to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Friday, February 2nd, the Market Composite Index—a measure of mortgage loan application volume—increased 3.7% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 8.0% compared with the previous week.

The Refinance Index increased 12.0% from one week ago and was 1.0% higher than the same week one year ago.

The seasonally adjusted Purchase Index decreased 1.0% compared with one week ago. The unadjusted Purchase Index increased 6.0% compared with the previous week but was 19.0% lower than the same week a year earlier.

Commenting on the results of this week’s survey, MBA Vice President and Deputy Chief Economist Joel Kan said:

“Mortgage rates have stayed close to where they started the year, despite swings in Treasury yields because of slowing inflation offset by stronger than expected readings on the job market. The 30-year fixed mortgage rate was 6.8%, a slight increase from last week. Rates at these levels have not prompted much of a reaction in the refinance market, as most homeowners have mortgages with much lower rates. Purchase activity has been strong to start 2024 compared to the final quarter of 2023. However, activity is still weaker than a year ago because of low housing supply.”