Mortgage Daily Logo
mortgage news from industry experts

Mortgage Market Index Down 3 Weeks in a Row

Mortgage Market Index Down 3 Weeks in a RowMortgage Market Index 273 for week ended Sept. 2

Sept. 2, 2011

By staff

Falling mortgage rates were not enough to lure more prospective borrowers into the market this week as they were apparently preoccupied with the upcoming holiday weekend. Purchase business has fallen more than a quarter from a year ago.

The average loan originator pulled 12 percent fewer pricing inquiries this week than last week. It was the third consecutive week that new business was lower.

Compared to a year earlier, mortgage activity was down 22 percent.

Those were the finding from the U.S. Mortgage Market Index report from Mortech Inc. and Mortgage Daily for the week ended Sept. 2. The index, itself, was 273 this week.

Behind the disappointing performance were refinance inquiries, which fell 14 percent from last week. Refinance activity was down 19 percent from the week ended Sept. 1, 2010.

Refinance share was two thirds in the latest report, off from last week’s 68 percent but better than 64 percent during the same week last year. This week’s share reflected a rate-term share of 52 percent and a cashout share of 14 percent.

The week-over-week decline in purchase activity was more moderate at 8 percent. But purchases sank 26 percent from a year earlier.

Inquiries for mortgages insured by the Federal Housing Administration were off 10 percent for the week. FHA share, however, was higher at 9.63 percent this week versus 9.20 percent seven days ago.

Conventional business fell 12 percent from last week.

The share of this week’s activity that was for adjustable-rate mortgages was 7.10 percent, increasing from 6.82 percent in the previous report. But ARM activity was still down 10 percent.

The conforming, 30-year, fixed-rate mortgage eased a basis point from last week to 4.34 percent.

The jumbo 30-year mortgage was down 3 BPS, trimming the jumbo-conforming spread to 63 BPS from last week’s 65 BPS.

The spread between the conforming 15 year and the conforming 30 year widened to 86 BPS from 81 BPS, making the 15-year an even more attractive option.

next story

back to current headlines

Full Mortgage Market Index Report

Week Ended Sept. 2, 2011

National Average Loan Amount

Top 3 States state
$300,576 HI
$279,082 CA
$278,370 MA

Bottom 3 States state
$143,861 SD
$153,091 NE
$153,619 WV

National Average Rate-Term Refinance Amount

Top 3 States state
$298,136 HI
$287,457 CA
$283,734 MA

Bottom 3 States state
$141,942 SD
$158,332 NE
$165,560 ND

National Average Cashout Refinance Amount

Top 3 States state
$314,152 HI
$281,959 MD
$275,900 VT

Bottom 3 States state
$129,944 WV
$137,505 NE
$142,227 ID

National Average Jumbo Loan Amount

Top 3 States state
$1,162,000 MI
$1,041,000 WY
$1,036,444 IN

Bottom 3 States state
$460,455 AK
$491,800 WV
$505,000 MS

National Rate-Term Refinance Share

National Cashout Refinance Share

National Cashout Refinance Share

Product state State Average
Conv30 MA $294,695
Conv30 MO $201,204
Conv30 CA $298,402
Conv15 MO $186,219
Conv15 MA $276,107
Conv30 TX $216,968
Conv30 IL $235,794
Conv20 MA $286,946
Conv30 NE $171,731
Conv30 NC $241,936
Conv30 PA $231,120
Conv15 TX $211,376
Conv15 NE $148,629
Conv30 NJ $278,169
Conv30 KS $198,318

Average rate for each product from All investors Product
4.335% Conv30
3.476% Conv15
3.117% 5-1LiborARM
4.074% FHA30
3.482% FHA15
4.116% VA30
4.966% Jumbo30

Mortgage Market Index

National ARM Share

National FHA Share

Mortgage Market Index 273 for week ended Sept. 2


Popular posts

How Long Does It Take to Refinance a Mortgage
How Long Does It Take to Refinance a Mortgage

So, you’re interested in refinancing your mortgage. Maybe you want some extra capital to do that home project you’ve always dreamed of, interest rates are nearing record lows, or you want to start consolidating debt. Regardless of the motivation behind the refinance,...

How Does Refinancing a Mortgage Work
How Does Refinancing a Mortgage Work

A home purchase is considered an investment, and a robust one at that. Savvy owners are constantly looking for new ways to reduce debt, save money, pay less in interest, and ultimately build equity. Refinancing is one way to leverage your investment and do just that....

What Does It Mean to Refinance Your Home
What Does It Mean to Refinance Your Home

You can think of refinancing your mortgage as a debt redo. Essentially, you’ll swap out the existing loan for a new one - ideally with better terms and conditions. Only this time it could help you save money on high mortgage payments, rather than just borrow it....

Setting up the Utilities in My New House
Setting up the Utilities in My New House

All the tedious, time-consuming home closing documents have been signed, sealed, and delivered. Your belongings are packed into what seems like a million boxes and you have a solid plan to haul all your existing furniture to the new place. Just as your boxes and...

When Is My First Mortgage Payment Due?
When Is My First Mortgage Payment Due?

Navigating your way through a brand new mortgage loan can be a difficult task, especially for first time homeowners. After handing over a large sum of money for the down payment and closing costs, it’s important to pay attention to the timing of your first mortgage...


Don’t worry, we don’t spam

calculate your monthly mortgage payment

Related Topics

Helpful Links

Daily mortgage rate trends

Best mortgage lenders

First-time homebuyers programs by state

Loan limits by state

Types of mortgages

APR vs interest rate

Understanding PMI

Related Posts