|Title: ||Refinance Activity Increases to Highest Level Since May 2009 in Latest MBA Weekly Survey|
WASHINGTON, D.C. (August 18, 2010) — The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending August
13, 2010. The Market Composite Index, a measure of mortgage loan application volume, increased 13.0 percent on a seasonally
adjusted basis from one week earlier. On an unadjusted basis, the Index increased 12.4 percent compared with the previous
The Refinance Index increased 17.1 percent from the previous week and was the highest Refinance Index observed in the survey
since the week ending May 15, 2009. The seasonally adjusted Purchase Index decreased 3.4 percent from one week earlier. The
unadjusted Purchase Index decreased 4.6 percent compared with the previous week and was 38.6 percent lower than the same week
one year ago.
The four week moving average for the seasonally adjusted Market Index is up 2.6 percent. The four week moving average is
up 0.1 percent for the seasonally adjusted Purchase Index, while this average is up 3.2 percent for the Refinance Index.
The refinance share of mortgage activity increased to 81.4 percent of total applications from 78.1 percent the previous week,
which is the highest refinance share observed since January 2009. The adjustable-rate mortgage (ARM) share of activity decreased
to 5.7 percent from 5.9 percent of total applications from the previous week.
The average contract interest rate for 30-year fixed-rate mortgages increased to 4.60 percent from 4.57 percent, with points
increasing to 0.92 from 0.89 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans. The effective
rate also increased from last week.
The average contract interest rate for 15-year fixed-rate mortgages increased to 3.99 percent from 3.95 percent, with points
decreasing to 1.05 from 1.08 (including the origination fee) for 80 percent LTV loans. The effective rate also increased from
The average contract interest rate for one-year ARMs decreased to 6.90 percent from 7.00 percent, with points decreasing to
0.21 from 0.22 (including the origination fee) for 80 percent LTV loans.
If you would like to purchase a subscription of MBA’s Weekly Applications Survey, please contact MBA Research at (202) 557-2830
or firstname.lastname@example.org or click here.
The survey covers over 50 percent of all U.S. retail residential mortgage applications, and has been conducted weekly since
1990. Respondents include mortgage bankers, commercial banks and thrifts. Base period and value for all indexes is March
The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry
that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the
association works to ensure the continued strength of the nation's residential and commercial real estate markets; to expand
homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and
fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety
of publications. Its membership of over 2,200 companies includes all elements of real estate finance: mortgage companies,
mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending
field. For additional information, visit MBA's Web site: www.mba.org.