Source: Sharecast
Applications to refinance a mortgage, which are more sensitive to week-to-week interest rate changes, slumped 18% week-on-week, while applications to purchase a home dropped just 0.4%.
"There were large declines in applications across loan types – conventional refinances were down 14%, along with an 18% decrease for FHA applications and a 34% decrease for VA applications. Overall, refinance applications accounted for 38% of applications, the lowest share since June 2025," said MBA deputy chief economist Joel Kan.
"The average loan size for a purchase application reached another survey high at $473,600, as borrowers with smaller loan sizes were less active given the higher rate environment and its negative impact on their purchasing power," he added.
Last week's moves came as the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances hit 6.65%, up from 6.56%. The 30-year fixed rate has risen by 30 basis points over the last five weeks to hit its highest level since August 2025.
Reporting by Iain Gilbert at Sharecast.com