12/14: MetroIntelligence Economic Update by P. DUFFY

November applications for new home mortgages fell 14 percent from October, down 11 percent year-on-year

The Mortgage Bankers Association (MBA) Builder Application Survey (BAS) data for November 2018 shows mortgage applications for new home purchases decreased 11 percent from a year ago. Compared to October 2018, applications declined by 14 percent. This change does not include any adjustment for typical seasonal patterns.



NFIB:  Small business optimism declined slightly in November, but remains at high level

Small business optimism posted a modest decline in November with a reading of 104.8. Slightly more than half of the decline was attributable to Expected Business Conditions and Expected Real Sales. Increases in compensation tied a near 30-year high as owners seek to attract more qualified candidates. An increasing percentage of owners reported capital outlays and higher sales.



Mortgage applications rise 1.6 percent as rates drop to lowest level since September

The Market Composite Index increased 1.6 percent on a seasonally adjusted basis from one week earlier, with purchase loans up 3.0 percent and refinance activity rising 2.0 percent.  The average contract interest rate for 30-year fixed-rate mortgages decreased to 4.96 percent, the lowest level since September 2018.