Mortgage Rates Mixed in Mortgage Survey: Average 30 Year Contract Rates at 4.93%

Mortgage rates were mixed in the latest mortgage survey released yesterday morning. In the Weekly Mortgage Application Survey released by the Mortgage Bankers Association the average contract rate on 30 year mortgages increased to 4.93 percent for the week ending April 1, 2011. The average contract rate increased from the previous week's average of 4.92 percent. Average mortgage discount points on 30 year loans was 0.70 points, down from the previous week's average of 0.83 points.

The average contract rate on 15 year mortgages decreased to 4.14 percent for the week ending April 1, 2011, down from the prior week's average of 4.16 percent. Average mortgage discount points on 15 year mortgages increased to 1.09 points, up from the previous week's average of 0.99 points.

The MBA's Market Composite Index, which is a measure of mortgage loan application volume, decreased 2.0 percent on a seasonally adjusted basis from the prior week.

The Refinance index, ,which is a measure of loan application volume for refinances decreased 6.2 percent from the previous week. Refinancing applications continues to decrease because homeowners who can refinance have done so already. "Rates were flat last week, but refinance activity fell, as the pool of borrowers who have both the incentive and the ability to qualify for a refinance continues to shrink" said Michael Fratantoni, MBA’s Vice President of Research and Economics.

The seasonally adjusted Purchase Index, which measures applications for home purchases, increased 6.7 percent from one week earlier. The increased is due mostly to an increase in government loans like FHA loans.