What's behind the latest uptick?
Mortgage applications increased by 0.8% from the previous week, according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending July 18, 2025.
The Market Composite Index, which measures mortgage loan application volume, rose 0.8% on a seasonally adjusted basis. On an unadjusted basis, the index increased by 1%. While refinancing activity declined, purchase applications continued to rise, with notable gains compared to last year.
The Refinance Index dropped 3% from the previous week but remained 22% higher than the same week in 2024. The seasonally adjusted Purchase Index increased 3%, and the unadjusted Purchase Index rose by 4%. Compared with the same period last year, purchase activity was also up by 22%.
“The 30-year fixed mortgage rate edged higher last week to its highest level in four weeks at 6.84%, while rates for other loan types were mixed. Purchase applications finished the week higher, driven by conventional purchase loans, and continue to run ahead of last year’s pace,” said Joel Kan, MBA’s vice president and deputy chief economist.
“After reaching $460,000 in March 2025, the purchase loan amount has fallen to its lowest level since January 2025 to $426,700. With the 30-year fixed rate still too high to benefit many borrowers, refinance applications were down almost 3% for the week.”
The refinance share of total mortgage activity decreased to 39.6% from 41.1% the week before. Adjustable-rate mortgage (ARM) activity rose to 7.2%.
Federal Housing Administration (FHA) loans made up 18.7% of total applications, down from 19.0%. Department of Veterans Affairs (VA) loans remained at 12.6%, while US Department of Agriculture (USDA) loans slightly increased to 0.6%.
The average interest rate for 30-year fixed-rate mortgages with conforming balances rose to 6.84%. Jumbo loan rates held steady at 6.75%. FHA-backed mortgage rates stayed at 6.52%. The rate for 15-year fixed mortgages decreased to 6.14%, while 5/1 ARM rates declined to 6.01%.
The MBA survey includes data from mortgage bankers, commercial banks, thrifts, and credit unions. It has been conducted weekly since 1990 and covers US closed-end residential mortgage applications through retail and consumer direct channels.
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