Mortgage Application Volume, Tiny Increase in Purchase Activity Ends 5-Week Slump

Only a slight uptick in purchase mortgage applications kept all last week’s volume indicators from falling for the fifth straight time. The Mortgage Bankers Association (MBA) said its Market Composite Index, a measure of mortgage loan application volume, decreased 1.2 percent on a seasonally adjusted basis during the week ended September 9. The results include an adjustment for the observance of Labor Day. On an unadjusted basis, the Index decreased 12 percent compared with the previous week. The Refinance Index decreased 4 percent from the previous week and was 83 percent lower than the same week one year ago. The refinance share of mortgage activity decreased to 30.2 percent of total applications from 30.7 percent the previous week. [refiappschart] The seasonally adjusted Purchase Index ticked up 0.2 percent, its first gain since late July. The unadjusted Purchase Index decreased 12 percent compared with the previous week and was 29 percent lower than the same week one year ago. [purchaseappschart] “The 30-year fixed mortgage rate hit the six percent mark for the first time since 2008 – rising to 6.01 percent – which is essentially double what it was a year ago,” said Joel Kan, MBA’s Associate Vice President of Economic and Industry Forecasting. “Higher mortgage rates have pushed refinance activity down more than 80 percent from last year and have contributed to more homebuyers staying on the sidelines. Government loans , which tend to be favored by first-time buyers, bucked this trend and increased over the week, driven mainly by VA and USDA lending activity .”

September 14, 2022 Download our Mobile App: Download our Mobile App: Housing News Mortgage Application Volume, Tiny Increase in Purchase Activity Ends 5-Week Slump Only a slight uptick in purchase mortgage applications kept all last week’s volume indicators from falling for the fifth straight time. The Mortgage Bankers Association (MBA) said its Market Composite Index, a measure of mortgage loan application vol... (read more) MBS Commentary Slow and Sideways as Markets Wait For Bigger News Slow and Sideways as Markets Wait For Bigger News Bonds began the day in moderately weaker territory but rallied back over the next few hours. The buying demand was linear and methodical. It avoid... (read more) Mortgage Rate Watch Boring Day For Rates, But Not "Good" Boring The mortgage market is no stranger to excitement in 2022. Unfortunately, it hasn't been the good kind of excitement. That's especially true of the past few weeks as rates pushed back up to long term highs. After yesterday's upside s... (read more) Rob Chrisman Treasury Yields, Employment Offerings, Vendor Services; Inflation on the Rise With inflation likely causing the Fed to keep hiking rates aggressively (more on that in the Capital Markets section at the bottom), many people in our industry are asking how high mortgage rates can go. The talk in the bond markets today is perhaps ... (read more) Mortgage Rates Boring Day For Rates, But Not "Good" Boring 30 Yr. Fixed Rate 6.30% +0.02% Rate Change Points Mortgage News Daily 30 Yr. Fixed 6.30% +0.02 0.00 15 Yr. Fixed 5.50% +0.06 0.00 30 Yr. FHA 5.56% +0.01 0.00 30 Yr. Jumbo 5.60% +0.05 0.00 5/1 ARM 6.00% +0.08 0.00 30 Yr. VA 5.61% +0.01 0.00 Updates Daily - Last Update: 9/14 15 Yr. Fixed Rate 5.50% +0.06% Rate Change Points Freddie Mac 30 Yr. Fixed 5.89% +0.23 0.70 15 Yr. Fixed 5.16% +0.18 0.80 5/1 Yr. ARM 4.64% +0.13 0.40 Updates Weekly - Last Update: 9/8 Rate Change Points Mortgage Bankers Assoc. 30 Yr. Fixed 5.94% +0.14 0.79 15 Yr. Fixed 5.23% +0.13 0.86 30 Yr. Jumbo 5.46% +0.14 0.40 Updates Weekly - Last Update: 9/7 MBS / Treasuries Slow and Sideways as Markets Wait For Bigger News UMBS 30YR 4.5 98.22 +0.06 Price / Yield Change MBS UMBS 4.5 98.22 +0.06 UMBS 5.0 99.98 +0.09 GNMA 4.5 99.02 -0.02 GNMA 5.0 100.63 +0.06 Pricing as of: 9/14 5:41PM EST 10 Year US Treasury 3.4043 -0.0075 Price / Yield Change US Treasury 2 YR Treasury 3.788 +0.043 5 YR Treasury 3.600 +0.023 7 YR Treasury 3.528 +0.008 10 YR Treasury 3.404 -0.008 30 YR Treasury 3.460 -0.031 Pricing as of: 9/14 5:41PM EST Latest Video We need to get the unemployment rate up to bring down inflation, says BofA'... Mortgage demand drops as rates top 6% The 9am Bond Report - September 14, 2022 The 2pm Bond Report - September 14, 2022 Around the Web Brookings Inst. 5 key takeaways on inflation from the August CPI report CNBC Mortgage demand from homebuyers falls 29% since last year, as interest rates surge past 6% Calculated Risk Blog Current State of the Housing Market; Overview for mid-September Calculated Risk Blog 2nd Look at Local Housing Markets in August Realtor.com The Market Has Begun To Correct Itself: House Hunters Say Theyre Ready To Buy in the Next Six MonthsEven in a Recession. Heres Why. CNBC Wholesale prices fell 0.1% in August amid inflation fears CNBC Inflation rose 0.1% in August even with sharp drop in gas prices CNBC From inflation to war, here are the 4 big factors impacting markets and the economy right now Calculated Risk Blog Mortgage Equity Withdrawal Still Strong in Q2; Homeowners now relying on Home Equity lines to extract equity Reuters Even Before Today's Inflation Data, Reuters Poll Saw 75bps and No Early Pivot CNBC Bond yields continue climbing following market tumble on hot inflation reading Calculated Risk Blog Cleveland Fed: Median CPI increased 0.7% and Trimmed-mean CPI increased 0.6% in August YouTube Video [VIDEO] Fannie Mae’s CIO on Mortgage Lending’s Digital Future

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