Mortgage application activity revved up for the week ending June 27 thanks to an increased level of refinancing, according to data from the Mortgage Bankers Association (MBA).
The Market Composite Index, the MBA’s measure of mortgage loan application volume, increased 2.7% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the index shot up by 13% compared with the previous week.
The seasonally adjusted Purchase Index inched up by a scant 0.1% from one week earlier while the unadjusted index increased by a more robust 10% compared with the previous week – the latter was also 16% higher than the same week one year ago.
The Refinance Index increased 7% from the previous week and was 40% higher than the same week one year ago. The refinance share of mortgage activity increased to 40.1% of total applications from 38.4% the previous week.
Among the federal programs, the FHA share of total applications decreased to 18.2% from 19.3% the week prior while the VA share of total applications increased to 12% from 11.7% the week prior and the USDA share of total applications remained unchanged at 0.5%.
