Despite a slight dip in rates, mortgage application volume fell 2.2% during the week ended July 19, according to the Mortgage Bankers Association’s (MBA) Weekly Applications Survey.
Applications for refinances increased 0.3% compared with the previous week and was up 38% compared with the same week one year ago.
Applications for purchases decreased 4% compared with then previous week and were down 15% compared with the same week one year ago.
“Mortgage rates continued to ease, with the 30-year fixed rate dipping to 6.82 percent, the lowest level since February 2024,” says Joel Kan, vice president and deputy chief economist for the MBA, in a statement. “Refinance applications were up, driven by conventional and FHA application activity, as some borrowers took the opportunity to act. Furthermore, the conventional refi index was at its highest level since September 2022.”
“Purchase applications decreased as ongoing affordability challenges persist with rates at their current levels and with home-price appreciation still strong in many markets,” Kan adds.
The refinance share of mortgage activity increased to 39.7% of total applications, down from 38.8% the previous week.
The adjustable-rate mortgage (ARM) share of activity remained unchanged at 5.8% of total applications.
Photo: Bruce Mars