Data from the Mortgage Bankers Association’s (MBA) Weekly Applications Survey for the week ending September 13 show that the number of mortgage applications increased 14.2% from one week earlier, on a seasonally adjusted basis.
On an unadjusted basis, the index increased 26% compared with the previous week.
The refinance index increased 24% from the previous week and was 127% higher than the same week one year ago.
“Application activity was up significantly last week, as market expectations of a rate cut from the Fed pulled mortgage rates lower,” says the MBA’s Joel Kan.
He notes that the 30-year fixed mortgage rate is now 6.15%, which is the lowest since September 2022 and more than a full percentage point lower than a year ago.
“Refinance applications were up 24 percent – more than double last year’s pace, with both conventional and government activity jumping to the fastest pace of refinancing since 2022,” Kan adds.
The refinance share of mortgage activity increased to 51.2% of total applications from 46.7% the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 5.9% of total applications.
The FHA share of total applications increased to 15.2%, while the VA share rose to 16.8 percent.