Mortgage Applications Bounce up.

MBA Mortgage Applications (week ended 6/26/2015)

 

– Purchase Index Week/Week  +7.0%. Previous weeks were -4.0%, +1.0%. -4.0%, +10.0%, -3.0%, +1.0%, -4.0%, -0.2%, +1.0%, +0.0%, +5.0%, -3.0%, and +7.0%.

– Refinance Index Week/Week +3.0%. Previous weeks were -5.0%, +2.0%, -7.0%, +7.0%, -12.0%, -4.0%, +0.3%, -6.0%, -8.0%, -4.0%, +1.0%, and -2.0%.

– Composite Index Week/Week +4.6%. Previous weeks were -4.7%, +1.6%, -5.5%, +8.4%, -7.6%, -1.6%, -1.5%, -3.5%, -4.6%, -2.3%, +2.3%, -2.3%, and +0.4%.

It is difficult to draw conclusions when the data is so inconsistent week to week.  Mortgage applications should be a leading indicator of home sales. With a larger than usual percentage of homes being sold for all cash the correlation is weaker than usual.