US MBA Text: Mkt Composite +1.6%, Refis +4% In March 15 Wk

     WASHINGTON (MNI) - The following is the text of the Mortgage Bankers

Association's Mortgage Applications Survey released Wednesday morning:

     Mortgage applications increased 1.6 percent from one week earlier,

according to data from the Mortgage Bankers Association's (MBA) Weekly Mortgage

Applications Survey for the week ending March 15, 2019. 

     The Market Composite Index, a measure of mortgage loan application volume,

increased 1.6 percent on a seasonally adjusted basis from one week earlier. On

an unadjusted basis, the Index increased 2 percent compared with the previous

week. The Refinance Index increased 4 percent from the previous week. The

seasonally adjusted Purchase Index increased 0.3 percent from one week earlier.

The unadjusted Purchase Index increased 1 percent compared with the previous

week and was 1 percent higher than the same week one year ago. 

     "Mortgage rates declined once again, as concerns about the slowing global

economy and status of Brexit continued to drive investors' demand for U.S.

Treasuries, ultimately pushing yields lower," said Joel Kan, Associate Vice

President of Economic and Industry Forecasting. "Rates for most loan types were

at their lowest levels in over a year, with the 30-year fixed mortgage rate

falling to 4.55 percent - its lowest reading since last February. Although lower

rates sparked a 3.5 percent increase in refinance applications, purchase

activity was up only slightly last week and from a year ago." 

     Added Kan, "Entry-level housing supply remains weak and is likely hindering

some would-be first-time buyers from finding a home. This - along with faster

growth in the higher price tiers - is why the average loan application size has

risen to a new high for three straight weeks." 

     The refinance share of mortgage activity increased to 39.2 percent of total

applications from 38.6 percent the previous week. The adjustable-rate mortgage

(ARM) share of activity decreased to 7.1 percent of total applications. 

     The FHA share of total applications remained unchanged from 10.4 percent

the week prior. The VA share of total applications increased to 10.6 percent

from 10.2 percent the week prior. The USDA share of total applications remained

unchanged from 0.6 percent the week prior. 

     The average contract interest rate for 30-year fixed-rate mortgages with

conforming loan balances ($484,350 or less) decreased to 4.55 percent from 4.64

percent, with points decreasing to 0.42 from 0.47 (including the origination

fee) for 80 percent loan-to-value ratio (LTV) loans. The effective rate

decreased from last week. 

     The average contract interest rate for 30-year fixed-rate mortgages with

jumbo loan balances (greater than $484,350) decreased to 4.37 percent from 4.45

percent, with points decreasing to 0.23 from 0.34 (including the origination

fee) for 80 percent LTV loans. The effective rate decreased from last week.

     The average contract interest rate for 30-year fixed-rate mortgages backed

by the FHA decreased to 4.59 percent from 4.61 percent, with points increasing

to 0.50 from 0.47 (including the origination fee) for 80 percent LTV loans. The

effective rate decreased from last week. 

     The average contract interest rate for 15-year fixed-rate mortgages

decreased to 3.97 percent from 4.02 percent, with points decreasing to 0.40 from

0.44 (including the origination fee) for 80 percent LTV loans. The effective

rate decreased from last week. 

     The average contract interest rate for 5/1 ARMs decreased to 3.99 percent

from 4.09 percent, with points increasing to 0.29 from 0.26 (including the

origination fee) for 80 percent LTV loans. The effective rate decreased from

last week. 

--MNI Washington Bureau; tel: +1 202-371-2121; email: kevin.kastner@marketnews.com

[TOPICS: MAUDS$,M$U$$$,MK$$$$,M$$MO$]