Mortgage applications declined 5.1 percent for the week ending February 12, according to the weekly report released Wednesday by the Mortgage Bankers Association.
The survey found the Refinance Index dropped 5 percent from the previous week while remaining 51 percent higher than the same week a year ago. The Purchase Index decreased 1 percent and was 15 percent higher than the same week last year.
The refinance share of mortgage activity decreased to 69.3 percent of total applications from 70.2 percent the previous week. The adjustable-rate mortgage share of activity increased to 2.4 percent of total applications.
“Expectations of faster economic growth and inflation continue to push Treasury yields and mortgage rates higher. Since hitting a survey low in December, the 30-year fixed rate has slowly risen, and last week climbed to its highest level since November 2020,” said Joel Kan, MBA’s Associate Vice President of Economic and Industry Forecasting. “The uptick in rates has slightly dampened refinance activity, with MBA’s index falling for the second week in a row, and the overall share dipping below 70 percent for the first time since last October.”