Mortgage Purchase Activity Surges
Chicago, IL (PRWEB) November 19, 2014 -- Lenders like Peoples Home Equity were pleased to see weekly mortgage applications jump 4.9% this week as purchase activity surged.
According to the Mortgage Bankers Association (MBA) weekly mortgage survey report released today (November 19th), it's Market Comopsite Index, “a measure of mortgage loan application volume, increased 4.9 percent on a seasonally adjusted basis from one week earlier.” Reminder, this survey is based on “75 percent of all U.S. retail residential mortgage applications, and has been conducted weekly since 1990. Respondents include mortgage bankers, commercial banks and thrifts.” Lenders were thrilled to experience a jump in the purchase index, which rose 12% for the week ending on November 14th. By comparison, the refinance index rose just 1% and the “refinance share of mortgage activity decreased to 61 percent of total applications from 63 percent the previous week.” Peoples Home Equity thinks purchase activity will continue to outperform refinance activity.
In terms of the types of mortgage applications, the FHA share grew from 9.6% last week to 9.9% this week. The VA share of total applications rose from 11% to 11.5%, and the USDA share of applications fell from 0.9% last week to 0.8% this week.
As for mortgage rates, 30-year fixed loans decreased from 4.19% to 4.18%, with pointing also decreasing from 0.26 to 0.24 (origination fee included, assuming 20% down payment). 30-year Jumbo loans rates also fell from 4.13% to 4.10% with points increasing from 0.15 to 0.16 (origination fee included, assuming 20% down payment).
15-year fix rate loans remained unchanged and pointed increased from 0.22 to 0.27 (origination fee included, assuming 20% down payment). 5/1 ARM rates increased from 3.05 to 3.09 with pointing also increasing from 0.32 to 0.34 (origination fee included, assuming 20% down payment).
If interested in purchasing a property in an urban center to save on travel time to work, know that now is the time, mortgage rates are near historic lows, and home prices remain below peak levels. Consider using Peoples Home Equity as the lender. Contact a Peoples Home Equity loan officer today at: 262-563-4026
Giorgio U Ferrero, Peoples Home Equity, http://www.peopleshomeequity.com/index.php/main, +1 8473386062, [email protected]
Share this article