WASHINGTON – Despite lowered interest rates, home purchase loans and refinances decreased 7.8% for the week ended June 15, compared with the previous week, according to the Mortgage Bankers Association of America's weekly survey. The MBA Purchase Index decreased to 324.2 from 342.9 from the previous week, while the Refinance Index decreased to 1,593.1 from 1,776.9. The figures are seasonally adjusted. Refinancing activity represented 43.7% of total applications, decreasing from 44.8% the previous week. ARM activity decreased minimally to 10.3% from 10.4% from the previous week. The average contract interest rate for 30-year fixed rates mortgages was 7.09%. That was down from the previous week's level of 7.12%. Points on these mortgages increased to 1.30 from 1.27 including the origination fee and for 80% loan-to-value ratio loans. The data is based on a survey conducted by MBA that covers approximately 40% of U.S. retail residential mortgage originations.