US MBA Text: Mkt Composite -3.2%, Refis -4.3% November 9 Wk

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

Association's Mortgage Applications Survey released Wednesday morning:

     Mortgage applications decreased 3.2 percent from one week earlier,

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

Applications Survey for the week ending November 9, 2018. 

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

decreased 3.2 percent on a seasonally adjusted basis from one week earlier. On

an unadjusted basis, the Index decreased five percent compared with the previous

week. The Refinance Index decreased 4.3 percent from the previous week reaching

its lowest level since December 2000. The seasonally adjusted Purchase Index

decreased 2.3 percent from one week earlier reaching its lowest level since

February 2017. The unadjusted Purchase Index decreased 5 percent compared with

the previous week and was 3 percent lower than the same week one year ago. 

     "Recent volatility in the financial markets and increasing rates continue

to adversely impact mortgage application activity, even as the general economic

outlook remains positive," said Joel Kan, MBA's AVP of Economic and Industry

Forecasting. "Both home purchase and mortgage refinance applications decreased

over the week, driven largely by declines in conventional applications. Mortgage

rates increased over the week for most loan types, with the 30-year fixed rate

mortgage increasing to 5.17 percent - the highest level since 2010." 

     The refinance share of mortgage activity increased to 39.4 percent of total

applications from 39.1 percent the previous week. The adjustable-rate mortgage

(ARM) share of activity decreased to 7.7 percent of total applications. 

     The FHA share of total applications increased to 10.6 percent from 10.1

percent the week prior. The VA share of total applications remained unchanged at

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

unchanged at 0.7 percent from the week prior. 

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

conforming loan balances ($453,100 or less) increased to 5.17 percent from 5.15

percent, with points increasing to 0.55 from 0.51 (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 $453,100) increased to 4.98 percent from 4.97

percent, with points increasing to 0.28 from 0.27 (including the origination

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

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

by the FHA decreased to 5.08 percent from 5.15 percent, with points decreasing

to 0.55 from 0.64 (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

increased to 4.57 percent from 4.55 percent, with points increasing to 0.56 from

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

rate increased from last week. 

     The average contract interest rate for 5/1 ARMs increased to 4.45 percent

from 4.36 percent, with points decreasing to 0.31 from 0.35 (including the

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

last week.

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

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