US Mortgage Applications Trend Higher in the Week Ending June 27

According to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Friday, June 27, the Market Composite Index—a measure of mortgage loan application volume—increased 2.7% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 13.0% compared with the previous week (adjusted for the Juneteenth holiday).

The Refinance Index increased 7.0% from the previous week and was 40.0% higher than the same week one year ago.

The seasonally adjusted Purchase Index increased 0.1% from one week earlier. The unadjusted Purchase Index increased 10.0% compared with the previous week and was 16.0% higher than the same week one year ago.

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

“Mortgage rates were lower across all loan types last week, with the 30-year fixed rate declining to its lowest level since April at 6.79%. This decline prompted an increase in refinance applications, driven by a 10% increase in conventional applications and a 22% increase in VA refinance applications. As borrowers with larger loans tend to be more sensitive to rate changes, the average loan size for a refinance application increased to $313,700 after averaging less than $300,000 for the past six weeks. Purchase activity was essentially flat over the week, as overall uncertainty continues to hold homebuyers out of the market. However, purchase activity still remains 16% higher than last year’s pace.”