## FAQ

### What is the Market Composite Index?

The Market Composite Index is a measure of mortgage loan application volume by the Mortgage Bankers Association’s weekly survey. It provides insight into the trends in mortgage activity in the market.

### Why did the mortgage activity decrease in November?

The mortgage activity decreased in November primarily due to higher mortgage rates. The increase in the ten-year Treasury yield reflected uncertainties surrounding the elections, leading to a slowdown in mortgage applications.

### How did the Refinance and Purchase Index perform in November?

The Refinance Index decreased by 33.2% month-over-month, while the Purchase Index showed a modest increase of 2.7% over the same period. Compared to October 2023, the Purchase Index saw a 4.8% increase, and the Refinance Index was higher by 45.9%.

### What was the average contract rate for a 30-year fixed mortgage in November?

The average contract rate for a 30-year fixed mortgage in November averaged at 6.8%, which was 29 basis points higher month-over-month. This increase was in response to a higher ten-year Treasury rate.

## Conclusion

The Mortgage Bankers Association’s weekly survey for November showed a decrease in the Market Composite Index, primarily driven by higher mortgage rates. The Refinance Index saw a significant decline, while the Purchase Index showed a slight increase. Loan size metrics also reflected market adjustments, with average loan sizes decreasing for both purchases and refinances. As the market continues to respond to economic and political uncertainties, it’s essential for borrowers to stay informed about interest rates and market trends when considering mortgage applications.