According to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications report, mortgage applications fell 1.7 percent from the previous week.
While the refinancing portion of mortgage activity climbed slightly from the previous week to 67.6 percent of all applications, the adjustable-rate mortgage (ARM) share of activity fell to 3.4 percent of total applications, according to the weekly report.
“Last week, interest rates fell throughout the world as markets analyzed the new fears about the delta variation. For the first time since February, 30-year mortgage rates fell below 3% in our poll, providing a chance for many homeowners who have not yet refinanced to decrease their rates and payments. Following an 11 percent increase last week, the amount of refinancing applications has fallen somewhat “Mike Fratantoni, MBA’s senior vice president and top economist, echoed this sentiment. “A shortage of inventory continues to fuel fast home-price appreciation across the country, as seen by the reduction in purchase application volume.”
According to the MBA, the average interest rate for 30-year fixed-rate conforming loans fell to 2.97 percent from 3.01 percent, with points falling to 0.33 from 0.34.
The 30-year fixed-rate jumbo mortgage’s average interest rate rose to 3.12 percent from 3.11 percent, with points rising to 0.30 from 0.27.
The average 30-year fixed-rate mortgage guaranteed by the Federal Housing Administration (FHA) increased to 3.08 percent from 3.03 percent, with points falling to 0.29 from 0.35.
Since 1990, the poll has included over 75% of all retail home mortgage applications in the United States.