Mortgage applications decreased 7.3% on a seasonally adjusted basis from one week earlier as refinance activity was at its lowest level since June, according to the Mortgage Bankers Association. The prior week's results included an adjustment for the Labor Day holiday.
On an unadjusted basis, total application volume increased 15% over the previous week.
The MBA's Weekly Mortgage Applications Survey for the week ending Sept. 16 found that the refinance index decreased 8%
However, the market share of refi applications increased to 63.1% from 62.9% the previous week.
The seasonally adjusted purchase index decreased 7% from one week earlier, while the unadjusted purchase index increased 15% compared with the previous week and was 3% higher than the same week one year ago.
The adjustable-rate mortgage share of activity decreased to 4.4%, while the Federal Housing Administration share increased to 10.2% from 9.6%.
The VA share decreased to 11.6% from 12% and the USDA share remained unchanged at 0.7%.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) increased to 3.7% from 3.67%. For 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000), the average contract rate increased five basis points to 3.69%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 3.56% from 3.5%, while for 15-year fixed-rate mortgages, the average increased two basis points to 2.99%.
The average contract interest rate for 5/1 ARMs increased to 2.96% from 2.87%.
