Overall most mortgage rates increased last week across all loan types
Chicago, IL (PRWEB) February 11, 2015
On Wednesday, February 11th, the Mortgage Bankers Association announced its weekly survey report which showed that mortgage applications fell -9% for the week ending on January 6th. Peoples Home Equity thought that on a positive note purchase mortgage activity increased in market share as refinance activity fell from 71% to 69% of total applications.
In terms of the type of purchase mortgage applications, “The FHA share of total applications increased to 14.1 percent this week from 13.1 percent last week. The VA share of total applications decreased to 8.3 percent this week from 8.5 percent last week. The USDA share of total applications increased to 0.7 percent from 0.6 percent last week.”
Overall most mortgage rates increased last week across all loan types. 30-year fixed rates “with conforming loan balances ($417,000 or less) increased to 3.84 percent, the highest level since January 9, 2015, from 3.79 percent, with points increasing to 0.31 from 0.29 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.” Jumbo loans with balance over $417,000 increased from 3.82% to 3.9%. 15-year fixed rates increased from 1.14% to 3.15%, and .5/1 ARMS increased to 3.07% from 3.03%.
Wednesday’s weekly mortgage application survey report was disappointing but hardly a surprise to Peoples Home Equity. Yesterday, February 10th, People Home Equity expressed its skepticism against the consensus that applications would rise 3.75%. The reason was that Peoples Home Equity highlighted the fact that “the average 30-year mortgage rates increased without any declines” since January 30th. This relentless rise in interest rates last week probably led the fall in applications. In addition, many Americans are also focusing on completing their 2014 taxes before knowingly applying for a home loan now that the loan officer will request to see their 2014 tax return.