Rates Push Application Volume Back to March Levels

Higher interest rates helped to wipe out three weeks of gains in mortgage application activity. The Mortgage Bankers Association (MBA) said its Market Composite Index, a measure of that activity, decreased 5.7 percent on a seasonally adjusted basis and 6.3 percent before adjustment during the week ended May 24. The Refinance Index plummeted by 14.0 percent from the previous week’s level but stayed 12.0 percent higher than during the same week one year ago. The refinance share of mortgage activity decreased to 31.3 percent from 34.0 percent. [refiappschart] The seasonally adjusted Purchase Index declined for the third straight week, slipping 1.0 percent on a seasonally adjusted basis and 3.0 percent on an unadjusted basis. Purchase loan applications were down 10.0 percent compared to the same period in 2023. [purchaseappschart] “Mortgage rates increased for the first time in four weeks, with the 30-year fixed rate up to 7.05 percent and all other loan types also seeing increases. The uptick in rates led to a decline in mortgage applications heading into Memorial Day weekend,” said Joel Kan, MBA’s Vice President and Deputy Chief Economist. “Both purchase and refinance applications fell, pushing overall activity to the lowest level since early March. Borrowers remain sensitive to small increases in rates, impacting the refinance market and keeping purchase applications below last year’s levels. There continues to be limited levels of existing homes for sale and many buyers are struggling to find listings in their price range that meet their needs.”

May 29, 2024 Download our Mobile App: Download our Mobile App: Housing News Rates Push Application Volume Back to March Levels Higher interest rates helped to wipe out three weeks of gains in mortgage application activity. The Mortgage Bankers Association (MBA) said its Market Composite Index, a measure of that activity, decreased 5.7 percent on a seasonally adjusted basis ... (read more) MBS Commentary Concocting a Narrative to Fit The Market Movement Concocting a Narrative to Fit The Market Movement There are certain days and even weeks where the bond market could reasonably do whatever it wants without one outcome being more surprising than the other.&nb... (read more) Mortgage Rate Watch Mortgage Rates Much Higher Over The Past 2 Weeks Mortgage rates most recently bottomed out on May 15th with the average top tier conventional 30yr fixed scenario being quoted just a hair under 7.0%. It's been a fairly consistent march higher since then, slowly at first, but more abruptly in t... (read more) Rob Chrisman Internal Audit, Jumbo, VOE Tools; Government Program News; Southeast and West Lending Trends “I just saw three people jogging outside, and it inspired me to… get up and close the blinds.” Are you inspired to fly somewhere on vacation this summer? Hopefully your ride is smooth, unlike the recent Singapore Airlines flight; here is a riveting i... (read more) Mortgage Rates 30 Yr. Fixed Rate 7.34% +0.06% Rate Change Points Mortgage News Daily 30 Yr. Fixed 7.34% +0.06 0.00 15 Yr. Fixed 6.80% +0.05 0.00 30 Yr. FHA 6.85% +0.03 0.00 30 Yr. Jumbo 7.54% +0.04 0.00 7/6 SOFR ARM 7.39% +0.04 0.00 30 Yr. VA 6.87% +0.03 0.00 Updates Daily - Last Update: 5/29 15 Yr. Fixed Rate 6.80% +0.05% Rate Change Points Freddie Mac 30 Yr. Fixed 6.94% -0.08 0.00 15 Yr. Fixed 6.24% -0.04 0.00 Updates Weekly - Last Update: 5/23 Rate Change Points Mortgage Bankers Assoc. 30 Yr. Fixed 7.05% +0.04 0.63 15 Yr. Fixed 6.66% +0.24 0.69 30 Yr. Jumbo 7.22% +0.04 0.43 Updates Weekly - Last Update: 5/29 MBS / Treasuries UMBS 30YR 6.0 99.69 -0.12 Price / Yield Change MBS UMBS 6.0 99.69 -0.12 UMBS 6.5 101.28 -0.09 GNMA 6.0 100.27 -0.11 GNMA 6.5 101.19 +0.03 Pricing as of: 5/29 5:31PM EST 10 Year US Treasury 4.6132 +0.0603 Price / Yield Change US Treasury 2 YR Treasury 4.975 -0.006 5 YR Treasury 4.631 +0.039 7 YR Treasury 4.630 +0.059 10 YR Treasury 4.613 +0.060 30 YR Treasury 4.732 +0.064 Pricing as of: 5/29 5:31PM EST Latest Video JPMorgan's Michael Rehaut: Homebuying intentions among renters at highest l... Expect bond yields to peak soon and roll over in second half of 2024, says ... Fed's Beige Book finds employment is rising at a slight pace May Richmond Fed manufacturing index remains unchanged Around the Web Marketwatch Why 10-year Treasury yields should fall into year end, based on 60 years of history Calculated Risk Blog Inflation Adjusted House Prices 2.2% Below Peak; Price-to-rent index is 7.5% below 2022 peak Marketwatch U.S. economy is expanding, Feds Beige Book says, but businesses are less gung-ho CNBC 10-year Treasury rises as investors weigh state of economy Calculated Risk Blog FDIC: Number of Problem Banks Increased in Q1 2024 CNBC European Central Banks Knot says monetary policy to ease gradually,' as markets brace for June rate cut Marketwatch Consumer confidence rebounds in May after three months of decline Marketwatch Home prices reach new high in March, Case-Shiller says, fueled by scarcity Calculated Risk Blog A few comments on the Seasonal Pattern for House Prices CNBC Treasury yields dip ahead of consumer confidence and inflation data CNBC Fed's Kashkari wants to see 'many more months' of positive inflation data before a rate cut Calculated Risk Blog Comments on March House Prices, FHFA: House Prices Increased 0.1% in March CNBC U.S. crude oil gains more than 1% as market looks to OPEC+ meeting on production levels

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