Mortgage application volumes kicked off the month with a small increase as interest rates tumbled a few points, according to industry data.
The Mortgage Bankers Association's [1] (MBA) weekly measure of mortgage applications [2] rose 3.8 percent for the week ending October 3, the group reported Wednesday. The increase includes adjustments for seasonal influences.
Unadjusted, application totals came up 4 percent week-over-week.
MBA's gauge measuring refinance activity increased 5 percent from the previous survey, spurred by a decline in interest rates. According to the association's metric, the average 30-year fixed mortgage rate for the week was 4.30 percent for conforming loans, with points falling to 0.19 from 0.31 for 80 percent loan-to-value loans.
Despite the jump, the refinance share of total mortgage application activity was unchanged at 56 percent.
Meanwhile, applications for home purchases increased 2 percent, both adjusted and unadjusted. Compared to a year ago, purchase loan applications are still down 8 percent.