Refinance and government activity helped drag down overall loan inquiries this week even though rates slipped. But one category that was busier was adjustable-rate mortgages.
At 207, the U.S. Mortgage Market Index from Mortech Inc. and Mortgage Daily for the week ended April 20 was 7 percent lower than the week ended April 13. The index, however, was 13 percent higher than the same week in 2011.
Inquiries for loans insured by the Federal Housing Administration slowed the most, down 11 percent from a week earlier. FHAÂ business was 27 percent lower than the week ended April 22, 2011. FHA share was 11.322 percent, a little lower than 11.871 percent last week.
Inquiries for refinances fell 10 percent for the week but were up by nearly half from the same week a year ago. Refinance share slipped to 63 percent from 65 percent but was up from just 44 percent at this point last year. This week’s share reflected a rate-term share of 50 percent and a cashout share of 13 percent.
Conventional pricing inquiries fell 7 percent for the week, while purchase business was off 2 percent and jumbo inquiries were down 1 percent.
ARM inquiries increased 2 percent from last week, though ARMÂ activity was 53 percent below the level a year ago. ARM share grew to 4.785 percent from 4.340 percent last week. ARM share was 10.42 percent during this week last year.
The 30-year mortgage averaged 4.055 percent this week, inching down from 4.060 percent in the prior report. The 30 year was 4.99 percent a year earlier.
Jumbo shoppers were quoted rates that were around 55 basis points more than conforming prospects, a little better than the 56-basis-point spread a week prior.
The discount for a 15-year loans was mostly unchanged from a week earlier at 77 BPS note but wasn’t as good as 79 BPS one year previous.
Mortgage rates are unlikely to be much different in next week’s report based on an analysis of Treasury market activity. Data from the Department of the Treasury reported indicate that the 10-year Treasury note yield averaged around 2.01 percent during the week of the latest report, while the 10-year yield closed today at 1.99 percent.
