According to the Mortgage Bankers Association's Weekly Applications Survey, mortgage applications increased 0.8% in the week ending June 21, and the average interest rate for a 30-year fixed-rate mortgage fell to 7.04% from 7.12% the previous week.
Refinance applications were flat compared to the previous week but up 26% compared to the same week a year ago.
Purchase requests increased 1% compared to the previous week but were down 13% compared to the same week a year ago.
“Mortgage rates fell across the board last week, with 30-year fixed rates dropping slightly to 6.93%, the lowest level in more than three months,” Joel Kang, MBA vice provost and associate chief economist, said in a statement. “However, the rate declines were not enough to attract refinancing borrowers, as most borrowers continue to have mortgages with fairly low interest rates.”
“Purchase applications did indeed increase slightly after the Juneteenth adjustment,” Kang added. “Government purchase loans, primarily FHA and VA, increased more than 2% from the prior week as homebuyers in these segments sought to take advantage of recent interest rate relief.”
The share of mortgage refinances fell to 35.1% from 35.2% the previous week.
The percentage of adjustable-rate mortgage (ARM) transactions increased to 6.1% of total applications.
Photo: Hong Jung-woo