A few more applications that were completed for house-purchase loans were more than offset by a decline in the volume of refinance applications. Government share was unchanged, and jumbo rates lost some luster.
In the seven-day period that finished on June 29, the Market Composite Index slipped less than a seasonally adjusted 1 percent compared to the prior week.
Even without seasonal adjustments, the index — a measure of residential real estate loan applications — moved lower by a percent from the week ended June 22.
The index covers more than 75 percent of all applications, according to the Mortgage Bankers Association, which
reported the data culled from its Weekly Mortgage Applications Survey.
MBA said refinance applications declined 2 percent. Refinance share slipped to 37.2 percent from 37.6 percent and has thinned from 44.9 percent in the same week during 2017.
But despite the decrease in refinance activity, applications for loans to finance the purchase of single-family properties escalated a seasonally adjusted 1 percent from the last report. The trade group noted that without any seasonal adjustments, purchase-money applications were no different than the preceding week and were 1 percent stronger than in the week ended June 30, 2017.
No change from the previous week left weekly share at 10.2 percent for loans insured by the Federal Housing Administration and 10.7 percent for mortgages guaranteed by the Department of Veterans Affairs. While FHA share was also the same as a year earlier, VA share widened from 10.3 percent.
At 6.7 percent, the share of applications that were for adjustable-rate mortgages was more broad than 6.5 percent a week earlier. ARM share was more narrow, though, than 7.2 percent in the year-earlier report.
Jumbo applications had interest rates that were 8 basis points lower than conforming rates. The spread was 14 BPS in the last report and 10 BPS in the same-seven days in 2017.
