Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Market
Refinancing Driving October Mortgage Market Activity
WASHINGTON (10/31/13)--Mortgage applications increased by 6.4% on a seasonally adjusted basis for the week ending Oct. 25, according to data released by the Mortgage Bankers Association.

The group's Market Composite Index, which gauges mortgage application volume, showed that refinancing accounted for the lion's share of the activity, with the MBA Refinance Index up 9% from the previous week.

The Purchase Index was up just 2%, last week, with potential first-time home buyers continuing to be skeptical or priced out of home ownership entirely. While homeowners making their debut normally make up about half of all residential housing purchases, existing-home sales in September showed that first-time home buyers only made up about 28% of such purchases last month, with young adults facing an employers' labor market, and high levels of student debt (Moody's Economy.com Oct. 30) .

Meanwhile, refinancing as a share of total mortgage market application activity, increased to 67%--the highest it has been since June, as interest rates decline. MBA data show that 30-year fixed-mortgage rates, 30-year jumbo mortgage rates, and five-year adjustable rate mortgages have mostly declined between Sept. 6 and last week.

The MBA Market Composite Index accounts for 75% of U.S. retail residential mortgage applications, and has been conducted weekly since 1990.


RSS print
News Now LiveWire
#FreeGasFriday courtesy of @tvfcu, TN #creditunions http://t.co/wDRFYJVlpz
3 hours ago
If you were unable to watch or attend @cuna 's @thehill Hill forum on Wed., you can now watch the archived version: http://t.co/FhUnp7HbU8
5 hours ago
Time is running out. If you haven't taken the #NewsNow readership survey, please click here now: http://t.co/4Gp6C2Wa4o
5 hours ago
African financial inclusion possible with mobile money: @IMFNews study http://t.co/0V5DTQToxY
6 hours ago
Louise Herring's birthday is Saturday. 105 years later, her legacy lives on through her kids http://t.co/oMqGADmo0d http://t.co/T3NmS9NqEY
6 hours ago