by Calculated Risk on 10/29/2025 07:00:00 AM
From the MBA: Mortgage Applications Increase in Latest MBA Weekly Survey
Mortgage applications increased 7.1 percent from one
week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage
Applications Survey for the week ending October 24, 2025.The Market Composite Index, a measure of mortgage loan application volume, increased 7.1 percent on
a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 7
percent compared with the previous week. The Refinance Index increased 9 percent from the previous
week and was 111 percent higher than the same week one year ago. The seasonally adjusted Purchase
Index increased 5 percent from one week earlier. The unadjusted Purchase Index increased 4 percent
compared with the previous week and was 20 percent higher than the same week one year ago.“Mortgage rates decreased for the fourth consecutive week, with the 30-year fixed rate down to 6.3
percent, its lowest level since September 2024. This recent decline in rates spurred the second
consecutive week of increased refinance activity, driven mainly by conventional refinance applications,”
said Joel Kan, MBA’s Vice President and Deputy Chief Economist. “The ARM share of applications, which
had been trending higher, dipped below 10 percent last week, as lower rates prompted more borrowers to
choose fixed rate loans. Additionally, the average loan size of a refinance application remained elevated
at $393,900, as borrowers with larger loan sizes continue to be sensitive to rate movements. Purchase
applications increased compared to a holiday-shortened week across most loan types. However, USDA
applications fell more than 26 percent, impacted by the ongoing government shutdown.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances
($806,500 or less) decreased to 6.30 percent from 6.37 percent, with points decreasing to 0.58 from 0.59
(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 20% year-over-year unadjusted.
Red is a four-week average (blue is weekly).
The refinance index has increased from the bottom as mortgage rates declined.
