US MBA Text: Mkt Composite -2.8%, Refis -7% December 29 Wk

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

Association's Mortgage Applications Survey released Wednesday morning:

     Mortgage applications decreased 2.8 percent from two weeks earlier,

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

Applications Survey for the week ending December 29, 2017. The results include

adjustments to account for the Christmas holiday. 

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

decreased 2.8 percent on a seasonally adjusted basis from two weeks earlier. On

an unadjusted basis, the Index decreased 42 percent compared with two weeks ago.

The Refinance Index decreased 7 percent from two weeks ago. The seasonally

adjusted Purchase Index increased 1 percent from two weeks earlier. The

unadjusted Purchase Index decreased 40 percent compared with two weeks ago and

was 3 percent higher than the same week one year ago. 

     While the index changes were calculated relative to two weeks prior, the

following compositional and rate measures are presented relative to the previous

week only. 

     The refinance share of mortgage activity increased to 52.0 percent of total

applications from 51.8 percent the previous week. The adjustable-rate mortgage

(ARM) share of activity decreased to 5.3 percent of total applications. 

     The FHA share of total applications increased to 10.4 percent from 10.3

percent the week prior. The VA share of total applications increased to 11.2

percent from 10.6 percent the week prior. The USDA share of total applications

increased to 0.8 percent from 0.7 percent the week prior. 

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

conforming loan balances ($424,100 or less) remained unchanged from the week

prior at 4.25 percent, with points increasing to 0.36 from 0.35 (including the

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

rate increased from last week. 

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

jumbo loan balances (greater than $424,100) decreased to 4.13 percent from 4.21

percent, with points increasing to 0.21 from 0.20 (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 increased to 4.17 percent from 4.15 percent, with points increasing

to 0.40 from 0.37 (including the origination fee) for 80 percent LTV loans. The

effective rate increased from last week. 

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

decreased to 3.65 percent from 3.66 percent, with points decreasing to 0.34 from

0.37 (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 3.40 percent

from 3.56 percent, with points increasing to 0.73 from 0.46 (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$]