According to the Mortgage Bankers Association (MBA), mortgage applications rose 14 percent on a seasonally adjusted basis for the week ending Sept. 18. MBA Chief Economist Mike Fratantoni noted the rate declined towards the end of the week which “likely drove applications from both prospective homebuyers and borrowers looking to refinance.” He suggested the increase was due to a Federal Open Market Committee (FOMC) meeting.

As nationalmortgagenews tells MHProNews, the MBA’s Market Composite Index (MCI), which measures mortgage loan application volume, rose 26% on an unadjusted basis for the same week. Refinance application volume rose sharply 58.4% from the previous week, and applications for purchase increased 9% on a seasonally adjusted basis, and 20% on an unadjusted basis. They were 27% higher than the comparable week a year ago.

The average contract interest rate for a 30-year fixed-rate mortgage with a conforming loan balance ($417,000 or less) remained steady at 4.09%. ##

(Image credit: housingwire)

Article submitted by Matthew J. Silver to Daily Business News-MHProNews.