The Mortgage Bankers Association (MBA) released its weekly report on mortgage applications Wednesday morning. It noted a decrease of 4.1% in the group’s seasonally adjusted composite index, following a rise of 7.9% for the previous week. Mortgage loan rates rose on most types of loans for the week ending September 19.

The seasonally adjusted purchase index decreased 0.3% from the prior week’s report. On an unadjusted basis, the composite index decreased by 5% week-over-week. The unadjusted purchase index decreased by 2% for the week, and it remains 16% lower year-over-year.

Adjustable rate mortgage loans accounted for 8% of all applications, up from 7.6% in the prior week.

The MBA’s refinance index decreased by 7%, after rising by 2% in the previous week. The share of refinancings decreased from 57% to 56% of all applications.

The average mortgage loan rate for a conforming 30-year fixed-rate mortgage increased from 4.36% to 4.39%, its highest level since May. The rate for a jumbo 30-year fixed-rate mortgage rose from 4.24% to 4.30%. The average interest rate for a 15-year fixed-rate mortgage remained unchanged at 3.56%.

The contract interest rate for a 5/1 adjustable rate mortgage loan rose from 3.19% to 3.20%. Rates on a 30-year FHA-backed fixed rate loan rose from 4.03% to 4.08%, again the highest since May 2014.

The rise in home prices has been tapering off, and according to the Federal Housing Finance Agency rose just 0.1% in July compared with June, and July prices were up just 4.4% year-over-year. Mortgage loan interest rates remain low enough to attract first-time buyers, and the build-up in inventory of existing homes for sale may slow the price increases even more.

ALSO READ: The 10 Most Affordable Housing Markets in America

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.