Mortgage Applications Fall 4.3% in Sept. 30 Week

Mortgage applications declined 4.3% in the week ended Sept. 30, as refinancings and purchases fell, according to data from the Mortgage Bankers Association’s Weekly Mortgage Applications Survey.

The refinance index slid 5.2%, while the purchase index dipped 0.8%.

The seasonally adjusted market index four-week moving average grew 2.44%. The purchase index four-week moving average fell 0.33%, while the refinance index four-week moving average rose 3.24%.

“Interest rates continued to fall last week, driven by the latest Federal Reserve actions to invest in longer-term Treasury and mortgage securities, but potential borrowers largely remained on the sidelines, seemingly unimpressed by the lowest (by any measure) mortgage rates since the 1940s,” said Mike Fratantoni, MBA’s vice president of research and economics. Refinance application volume declined and purchase volume was little changed. Purchase borrowers continue to value the government lending programs that permit lower downpayments.”

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