Recent Updates

  • France: Bank of France Balance Sheets (Apr), Registered Unemployed & Job Vacancies (Apr)
  • US: FHFA House Price Index (Mar)
  • US: Philadelphia Fed State Coincident Indexes (Apr), Housing Starts by State and Region (Apr)
  • Japan: Financial Institutions Accounts (Mar), Electric Power Generated (Feb)
  • Chile: PPI (Apr); Mexico: Construction (Mar)
  • Spain: Producer Price Indexes (Apr), International Trade Detail (Mar)
  • more updates...

Economy in Brief

U.S. Mortgage Loan Applications Strengthen
by Tom Moeller  July 6, 2016

The Mortgage Bankers Association reported that its total Mortgage Market Volume Index jumped 14.2% last week (51.4% y/y) to the highest level since June 2013. Purchase applications increased 4.3% (10.5% y/y) while refinancing applications surged 20.8% (92.1% y/y).

The effective interest rate on a 15-year mortgage fell to 3.04%, the lowest level since May 2013. Rates remained down from the 3.50% highs of November and December. The effective rate on a 30-year fixed-rate loan eased to 3.75%, down versus 4.28% near year-end. The rate on a Jumbo 30-year loan fell to 3.73%. For adjustable 5-year mortgages, the effective interest rate held at 2.94kih%.

The average mortgage loan size increased to $292,800 (12.2% y/y). For purchases, it eased to $299,900 (+4.3% y/y); for refinancings, it rose to $288,400 (24.1% y/y).

Applications for fixed interest rate loans increased 54.0% y/y, while adjustable-rate loan applications gained 18.4% y/y.

The survey covers over 75 percent of all U.S. retail residential mortgage applications, and has been conducted weekly since 1990. Respondents include mortgage bankers, commercial banks and thrifts. The base period and value for all indexes is March 16, 1990=100. The figures for weekly mortgage applications and interest rates are available in Haver's SURVEYW database.

MBA Mortgage Applications (%, SA) 07/01/16 06/24/16 06/17/16 Y/Y 2015 2014 2013
Total Market Index 14.2 -2.6 2.9 51.4 17.9 -41.4 -24.2
 Purchase 4.3 -3.0 -2.4 10.5 15.5 -12.9 5.2
 Refinancing 20.8 -2.4 6.5 92.1 19.7 -52.8 -31.9
15-Year Mortgage Effective Interest Rate (%) 3.04 3.12 3.13 3.13 3.37 3.54 3.42
close
large image