WASHINGTON–An increase in mortgage rates helped drive mortgage applications to their lowest levels since last spring.
According to the Mortgage Bankers Association, its Market Composite Index decreased 1.2% on a seasonally unadjusted basis as of Oct. 28, falling back to May 2015 levels.
While the share of refinancing applications remained the same as during the week ended Oct. 21, 62.7%, the Refinance Index lost 2%, the MBA reported.
Among the other metrics:
- The average contract interest rate for 30-year FRM with jumbo loan balances (greater than $417,000) was 3.74% with 0.32 point. The previous week the rate was 3.71% with 0.35 point.
- The 30-year FRM backed by the FHA had an average rate of 3.59%, up from 3.56%. Points increased to 0.33 from 0.28.
- The average rate for 15-year FRM rose by three basis points to 3.04%. Points increased to 0.36 from 0.28.
- The average contract interest rate for 5/1 ARMs was 2.97% compared to 2.93% a week earlier. Points jumped to 0.40 from 0.32. The ARM share of application activity increased to 4.4%, according to the MBA.