Mortgage application activity increased 7.1% from one week earlier, driven by a spike in consumers looking to refinance their loans, according to the Mortgage Bankers Association.
The MBA's Weekly Mortgage Applications Survey for the week ending Aug. 5 found that the refinance index increased 10%
At the same time, the seasonally adjusted purchase index increased 3% from one week earlier.
The adjustable-rate mortgage share of applications remained unchanged at 4.7%, while the Federal Housing Administration share increased to 10% from 9.4%.
The VA share increased to 13% from 12.1% and the USDA share decreased 1 basis point to 0.6%.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) decreased to 3.65% from 3.67%.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) decreased to 3.64% from 3.65%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased 2 basis points to 3.52%, while for 15-year fixed-rate mortgages, the average remained unchanged at 2.93%.
The average contract interest rate for 5/1 ARMs decreased to 2.81% from 2.9%.
