Mortgage Applications Climb As Rates Ease From One-Year High
By CU Today Staff —
WASHINGTON— Mortgage applications increased 3.6% last week as mortgage rates eased slightly after five consecutive weeks of increases, according to the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending Aug. 7.
The seasonally adjusted Purchase Index increased 3% from the previous week, while the Refinance Index rose 5%. Purchase applications were 1% below the same week a year ago, while refinance applications were down 22% year over year. Refinancing accounted for 40.7% of total applications, up from 39.9% the previous week.
“After five consecutive weeks of increases, mortgage rates declined slightly last week as oil prices dipped briefly on the hopes of a sustained resolution to the war in Iran. The 30-year fixed rate decreased four basis points but remained close to its highest level in a year at 6.77%,” said Joel Kan, CMB, MBA VP and deputy chief economist.
“The reprieve in rates supported an increase in both purchase and refinance applications over the week, although the pace of applications has fallen below last year’s pace in recent weeks. As refinance incentives have dwindled with rates at current levels, the average loan size for refinance applications was down to its lowest level since July 2025,” Kan added.
The average rate for 30-year fixed mortgages with conforming loan balances declined to 6.77% from 6.81%, while the jumbo rate fell to 6.68% from 6.72%. The 15-year fixed rate declined to 6.10% from 6.13%, while the average 5/1 adjustable-rate mortgage rate fell to 5.99% from 6.03%. The FHA rate remained unchanged at 6.43%.
Originally reported by CU Today.