Mortgage applications in the US remained almost flat last week, while the 30-year interest rate rose to its highest level since July.
According to the US Mortgage Bankers Association (MBA) mortgage application survey, the market index of mortgage application activity, which includes refinancing and purchase loans, decreased by 0.1% to 214.5 points in the week of October 25, adjusted for seasonal factors.
According to the weekly report published by MBA and shared with Foreks Haber via e-mail, the purchase index increased by 5.0% to 137.8 points, while the refinancing index decreased by 6.3% to 630.0 points.
During the week in question, the 30-year mortgage interest rate increased by 21 basis points to 6.73%. This was the highest level in interest since the week of July 26.
“Mortgage applications remained flat last week, as rates increased for the fourth time in five weeks; this increase was driven by bond market volatility ahead of the presidential election and the next FOMC meeting. The 30-year fixed rate, at 6.73 percent, was the highest since July 2024,” he said.
“After a brief burst of activity in September when rates fell nearly 60 basis points, overall applications fell 27 percent, driven by a pullback in refinancings. Public refinancings accounted for a large portion of the decline, down 12 percent from last week,” Kan said.
Mortgage financing as a share of total applications fell from 45.7 percent to 43.1 percent.
The 15-year rate rose 29 basis points to 6.27 percent, while the 5-year ARM rate rose 8 basis points to 6.20 percent. The 30-year jumbo (larger than $647,200) home loan rate rose 4 basis points to 6.77 percent.
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