The surge of mortgage applications the industry has seen during the past few weeks seems to have cooled off, as the Mortgage Bankers Association’s (MBA) Market Composite Index dropped 38.8 percent from to 732.1 for the week ending January 23, from 1195.3 one week earlier.

The rate is seasonally adjusted, and takes into account the short week from the Martin Luther King, Jr. holiday. Unadjusted, the rate dropped 46.5 percent.
The Refinance Index decreased 48 percent to 3.9 from 6491.8 the previous week. Refinance applications were 72.8 percent of total mortgage applications, down from 83.3 percent the week before.
Adjustable rate mortgages accounted for 2.4 percent of activity, that’s an increase 1.5 percent.
Even though applications decreased, 30-year fixed-rated mortgage rates also decreased slightly. After rebounding from record lows the past few weeks, the rate decreased to 5.22 percent from 5.24 percent. 15-year fixed rate mortgage rates decreased to 4.98 percent from 4.99 percent.