NEW YORK - Mortgage loan application volume grew 5.0%, seasonally adjusted, in the week ended Jan. 14 as low interest rates continued to spur refinancing activity, according to the Mortgage Bankers Association Weekly Mortgage Applications Survey.
The refinance index rose 7.7%, while the purchase index fell 1.9%.
"Mortgage rates have moved somewhat lower since the beginning of the year, as mixed data on the job market continue to cloud the outlook for the economy," said Michael Fratantoni, MBA's Vice President of Research and Economics. "Refinance applications have picked up, as borrowers take advantage of lower rates, but purchase applications remain quite low, indicating that home sales are unlikely to pick up any time soon."
The four-week seasonally adjusted market index moving average rose 1.4%, while the four-week seasonally adjusted purchase index slid 0.8% and the refinance index surged 2.3%.
Refinancings accounted for 73.0% of volume, up from 72.1% a week earlier, while adjustable-rate mortgages (ARM) accounted for 5.0% of the market, up from 4.9% the week before.
The average 30-year fixed-rate mortgage interest rate dipped to 4.77% from 4.78%, while 15-year fixed-rate mortgages averaged 4.16%, up from 4.15%.
