Mortgage applications decreased 7.2 percent from one week earlier—a first for the new year—according to data from the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending January 26, 2024. On an unadjusted basis, the Index increased 8 percent compared with the previous week.
The Refinance Index increased 2 percent from the previous week and was 3 percent higher than the same week one year ago. The refinance share of mortgage activity increased to 34.2 percent of total applications from 32.7 percent the previous week.
“Mortgage rates changed little last week, with the 30-year fixed rate at 6.78 percent, which is close to where it has been for the past month but lower than the recent peak of 7.9 percent in October 2023,” said Joel Kan, MBA’s Vice President and Deputy Chief Economist. “Applications decreased compared to a holiday-adjusted week, driven by a decline in purchase applications that offset a slight increase in refinance activity. Low existing housing supply is limiting options for prospective buyers and is keeping home-price growth elevated, resulting in a one-two punch that continues to constrain home purchase activity. The average loan size for purchase applications has picked up in recent weeks to $444,100, the largest average loan size since May 2022.”