WASHINGTON, D.C. (July 27, 2016) - Mortgage applications decreased 11.2% from one week earlier, according to data from the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.

The Market Composite Index, a measure of mortgage loan application volume, decreased 11.2% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 11% compared with the previous week.

The Refinance Index decreased 15% from the previous week. The seasonally adjusted Purchase Index decreased 3% from one week earlier to the lowest level since February 2016. The unadjusted Purchase Index decreased 3% compared with the previous week and was 12% higher than the same week one year ago.

The refinance share of mortgage activity decreased to 61.1% of total applications from 64.2% the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 4.7% of total applications.

The FHA share of total applications increased to 10.1% from 9.9% the week prior. The VA share of total applications increased to 11.9% from 11.2% the week prior. The USDA share of total applications increased to 0.6% from 0.5% the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,000 or less) increased to 3.69% from 3.65%, with points unchanged at 0.36 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,000) increased to 3.67% from 3.66%, with points unchanged at 0.32 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 3.56% from 3.53%, with points increasing to 0.35 from 0.30 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 15-year fixed-rate mortgages increased to 2.94% from 2.90%, with points increasing to 0.32 from 0.31 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 5/1 ARMs increased to 2.96% from 2.86%, with points increasing to 0.30 from 0.29 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.