According to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Application Survey (WMAS), for the week ending September 10, 2021 (with an adjustment for the Labor Day holiday), the Market Composite Index — a measure of mortgage loan application volume — increased 0.3% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased -10% compared with the previous week.
The Refinance Index decreased -3% from the previous week and was -3% lower than the same week one year ago.
The seasonally adjusted Purchase Index increased 8% from one week earlier. The unadjusted Purchase Index decreased -5% compared with the previous week and was -12% lower than the same week one year ago.
In a statement prepared for this week’s survey, Joel Kan, MBA’s Associate Vice President of Economic and Industry Forecasting said, “Purchase applications — after adjusting for the impact of Labor Day — increased over 7 percent last week to their highest level since April 2021. Compared to the same week last September, which was right in the middle of a significant upswing in home purchases, applications were down 11 percent — the smallest year-over-year decline in 14 weeks. Both conventional and government purchase applications increased, and the average loan size for a purchase application rose to $396,800. The very competitive purchase market continues to put upward pressure on sales prices.”
Kan went onto say, “While the 30-year fixed rate was unchanged at just over 3 percent, it was not enough to drive more refinance activity. Refinance applications slipped to their slowest pace since early July, and the refinance share of applications fell to 65 percent, which was also the lowest since July.”
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Mortgage Applications Increase in Latest MBA Weekly Survey