The Mortgage Bankers Association (MBA) released its weekly report on mortgage applications Wednesday morning, noting a week-over-week decrease of 9.4% in the group’s seasonally adjusted composite index for the week ending November 25. The MBA noted that weekly results included an adjustment for the Thanksgiving Day holiday. Mortgage loan rates rose on all types of fixed-rate loans over the past week.
On an unadjusted basis, the composite index decreased by 38% week over week. The seasonally adjusted purchase index decreased by 0.2% compared with the week ended November 18. The unadjusted purchase index decreased 34% for the week and is now 3% higher year over year.
The MBA’s refinance index decreased by 16% week over week and the percentage of all new applications that were seeking refinancing dropped from 58.2% to 55.1%, the index’s lowest level since June.
Adjustable rate mortgage loans accounted for 5.7% of all applications, up from 5.2% the previous week, the highest level since June. The average loan size for purchase applications reached a survey high at $312,400.
Mortgage rates have pulled back from multi-month highs of 4.25% posted the day before Thanksgiving. The noteworthy point is that mortgage rates climbed by 0.5% in just three weeks following the November elections, “a feat seldom duplicated in the history of mortgage rates,” according to Matthew Graham at Mortgage News Daily. As of Tuesday, most lenders were offering rates of 4.0% to 4.125%.
According to the MBA, last week’s average mortgage loan rate for a conforming 30-year fixed-rate mortgage increased from 4.16% to 4.23%, the highest rate since June 2015. The rate for a jumbo 30-year fixed-rate mortgage rose from 4.04% to 4.18%, its highest level since July 2015. The average interest rate for a 15-year fixed-rate mortgage increased from 3.35% to 3.48%, the highest since October 2014.
The contract interest rate for a 5/1 adjustable rate mortgage loan decreased from 3.24% to 3.23%. Rates on a 30-year FHA-backed fixed-rate loan rose from 3.90% to 4.00%, the highest level since July 2015.
Want to Retire Early? Start Here (Sponsor)
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.