Mortgage Purchase Applications Fall, Refinancing Rises

Purchase applications for home mortgages in the April 15 week fell 1.0 percent while refinancing applications rose 3.0 percent from the previous week. While still 17 percent higher year-on-year, the purchase index has retreated considerably from the 30-plus percent year-on-year gains seen in March. The very low mortgage rates that have been the driving force behind increased mortgage activity were a shade higher in the week, up 1 basis point to 3.83 percent for the average 30-year mortgage for conforming loans ($417,000 or less).