US Mortgage Applications Rise in the Week Ending September 19

According to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Friday, September 19, the Market Composite Index—a measure of mortgage loan application volume—increased 0.6% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 0.1%.

The Refinance Index rose 1.0% from the previous week and was 42.0% higher than the same week one year ago.

The seasonally adjusted Purchase Index increased 0.3% from one week earlier. On an unadjusted basis, the Purchase Index fell 1.0% from the prior week but was 18.0% higher than the same week a year ago.

In remarks accompanying the release, MBA Senior Vice President and Chief Economist Mike Fratantoni said:

“Mortgage rates declined further last week, with the 30-year fixed rate falling to its lowest level since last September to 6.34%. Interest rates generally have moved up following the FOMC meeting last week but remain in a range that should continue to lead to increased refinance activity. Refinance volume increased further last week and is now 80% higher than four weeks ago, accounting for more than 60% of all application activity. The refinance boost last week was from government applications, with VA refinance volume up almost 15%. While homebuyer demand typically tends to decrease during the fall, purchase application activity remains relatively strong right now, running 18% ahead of last year’s pace.”