Rates Shoot Up
Freddie Mac said the average rate on 30-year fixed-rate mortgage increased to 8.52% for the week ended May 12, up from 8.28% last week.
In the 15-year sector, fixed-rate mortgages increased to 8.17% from the prior week's 7.94%. A year ago, the rate was 6.71%. The rate for one-year Treasury-indexed adjustable-rate mortgages averaged 6.96%, up from last week's average of 6.90%. A year ago, this rate was 5.71%.
Refi Index Increases
The MBA refinancing index increased to 357.7 for the week ending May 12, up from 336.2 the previous week.
Mortgage loan applications increased 13.2% from the prior week and refinancings made up 13.7% of the total volume, decreasing from last week's 14.6%.
Meanwhile, the MBA's home purchase index increased to 341.2 from 299.4 the prior week. Base period for all indexes, 3/16/90=100.