Mortgage Applications Increase in the Week Ending January 5th

According to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Application Survey for the week ending Friday, January 5th, the Market Composite Index—a measure of mortgage loan application volume—increased 9.9% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 45.0% compared with the previous week. The results include adjustments to account for the New Year’s Day holiday.

The Refinance Index (also with a holiday adjustment) increased 19.0% from one week ago. The unadjusted Refinance Index increased 53% from previous week and was 17% higher than the same week one year ago.

The seasonally adjusted Purchase Index increased 6.0% compared with one week ago. The unadjusted Purchase Index increased 40.0% compared with the previous week but was 16.0% lower than the same week one year ago.

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

“Despite an uptick in mortgage rates to start 2024, applications increased after adjusting for the holiday. The increase in purchase and refinance applications for both conventional and government loans is promising to start the year but was likely due to some catch-up in activity after the holiday season and year-end rate declines. Mortgage rates and applications have been volatile in recent weeks and overall activity remains low.”