Daily Forecast Update: Weekly Mortgage Applications

October 21, 2009

By Arun Barman, Research Economist

Daily Forecast Update

What does today's data mean for REALTORS® and consumers?

  • Bad news on the housing data front, the Mortgage Bankers Association reported that mortgage applications declined in the week ending October 16th.
  • Both refinance and purchase applications declined in the latest reading of the data.
  • Slightly higher mortgage rates as well as the onset of the November 30th deadline for the first-time home buyer tax credit seem to be impacting the market negatively.
  • The Mortgage Bankers data does not include the growing segment of all-cash buyers.

Mortgage Bankers Association Weekly Mortgage Applications

  • The Market Composite Index, an overall measure of mortgage loan application volume, declined a seasonally adjusted 13.7 percent from the previous week. The Columbus Day holiday fell during the week covered in the data, so the numbers have been adjusted as a result.
  • Purchase applications fell a seasonally adjusted 7.6 percent, and are down 3.4 percent from the same week a year ago.
  • Refinance applications declined 16.8 percent from the previous week. The share of refinance applications declined from 67.4 percent to 65 percent.
  • Mortgage rates moved up slightly higher to 5.07.

 

This is one in a series of commentaries by the Research staff of the National Association of REALTORS®. Read more commentaries >

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