With Veterans Day shortening the week, mortgage application volume declined, according to the Mortgage Bankers Association.
MBA's Mortgage Applications Survey showed total volume decreased 2.2 percent on a seasonally adjusted basis in the week ending November 16. This decline was pushed by drop s in both refinance and purchase requests.
The Refinance Index was down 3 percent from a week earlier, while the Purchase Index decreased 11 percent in the same period.
Despite the drop in refinances, the refi share of all applications remained at 81 percent. The adjustable-rate mortgage share increased to 4 percent of total applications.
Although application volume declined, mortgage rates have now broken record lows for two straight weeks. According to Freddie Mac's Primary Mortgage Market Survey, 15- and 30-year fixed-rate mortgages both hit new lows in the week ending November 21. This could help spur purchase and refinance request in the coming weeks.
However, the traditional seasonal downturn for the real estate market to close out the year could keep activity in the mortgage market down.