Rates At 2-Year High

Freddie Mac said the average rate on 30-year fixed-rate mortgages increased from 8.06% last week to 8.15% for the week ended Jan. 7.

In the 15-year sector, fixed-rate mortgages increased to 7.73% from the prior week's 7.66%. A year ago, the rate was 6.43%.

The rate for one-year Treasury-indexed adjustable-rate mortgages averaged 6.60%, up from last week's average of 6.56%. A year ago, this rate was 5.61%.

Refi Index Decreases

The MBAA refinancing index decreased to 302.9 for the week ending Jan. 7, down from 338.1 the previous week.

Mortgage loan applications decreased 6.0% from the prior week and refinancings made up 22.4% of the total volume, increasing from last week's 23.5%.

Meanwhile, the MBA's home purchase index decreased to 238.0 from 253.3 the prior week. Base period for all indexes, 3/16/90=100.