by Calculated Risk on 9/24/2025 07:00:00 AM
From the MBA: Mortgage Applications Increase in Latest MBA Weekly Survey
Mortgage applications increased 0.6 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending September 19, 2025.
The Market Composite Index, a measure of mortgage loan application volume, increased 0.6 percent on
a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 0.1
percent compared with the previous week. The Refinance Index increased 1 percent from the previous
week and was 42 percent higher than the same week one year ago. The seasonally adjusted Purchase
Index increased 0.3 percent from one week earlier. The unadjusted Purchase Index decreased 1 percent
compared with the previous week and was 18 percent higher than the same week one year ago.“Mortgage rates declined further last week, with the 30-year fixed rate falling to its lowest level since last
September to 6.34 percent. Interest rates generally have moved up following the FOMC meeting last
week but remain in a range that should continue to lead to increased refinance activity. Refinance volume
increased further last week and is now 80 percent higher than four weeks ago, accounting for more than
60 percent of all application activity,” said Mike Fratantoni, MBA’s SVP and Chief Economist. “The
refinance boost last week was from government applications, with VA refinance volume up almost 15
percent. While homebuyer demand typically tends to decrease during the fall, purchase application
activity remains relatively strong right now, running 18 percent ahead of last year’s pace.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances
($806,500 or less) decreased to 6.34 percent from 6.39 percent, with points increasing to 0.57 from 0.54
(including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.
emphasis added
Click on graph for larger image.
The first graph shows the MBA mortgage purchase index.
According to the MBA, purchase activity is up 18% year-over-year unadjusted.
Red is a four-week average (blue is weekly).
The refinance index has increased significantly from the bottom as mortgage rates declined.
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