Stalling mortgage rates have temporarily killed refinance momentum.
Mortgage applications were down 1.3% last week
The findings come after mortgage activity for the week ending Sept. 20 hit a two-year high. Wednesday's results also ended
"Last week's incoming data showed an economy that is still growing at a solid pace, even as inflation continues to decline," said Mike Fratantoni, senior vice president and chief economist at the MBA, in a statement. "As a result, mortgage rates were up modestly."
Effective rates for loan terms tracked by the association mostly rose across the board, with the average 30-year fixed rate mortgage ticking up to 6.14%, from 6.13% from the previous week. Larger declines stemming from the Federal Open Market Committee's
Purchase activity continues to rise, with both seasonal and unadjusted indexes up 1% weekly. On an unadjusted basis, purchase applications are 9% greater from the same time a year ago.
Fratantoni pointed to an overall rising inventory of new and existing homes this year as the reason for purchase interest. Buyers however appear to be
Average rates for jumbo loans grew in the past week by 3 basis points to 6.50%, while Federal Housing Administration-backed home loan rates moved up 7 bps to 6.06%.
Contract rates for 15-year fixed-rate mortgages rose slightly to 5.51% week-over-week, and the average contract rate for 5/1 adjustable-rate loans climbed 11 bps to 5.87%. Overall, rates for those products are still on average down over 100 bps from the same time last year.
Seven days removed from setting a survey record, the average loan size for both purchases and refis ending Sept. 27 was $408,600.