Application Index for Purchases Falls

Application Index for Purchases Falls
Mortgage applications rose 3.2 percent on a seasonally adjusted basis last week compared with the previous week, but most of the increase was in refinances.

The seasonally adjusted purchase index declined 11.7 percent from the previous week and is at its lowest level since December 2000. On an unadjusted basis, the purchase index fell 13.7 percent compared with the previous week and was down 21.6 percent compared to the same week a year ago.

The refinance index increased rose 11.3 percent and represented 71.5 percent of total applications.

Overall, interest rates declined:

• 30-year fixed-rate mortgages decreased to 4.90 percent from 4.97 percent.
• 15-year fixed-rate mortgages remained unchanged at 4.33 percent.
• 1-year ARMs increased to 6.85 percent from 6.83 percent.

Source: Mortgage Bankers Association (11/12/2009)