Mortgage applications increased 7.1% during the week ended October 24, with the average rate for a 30-year, fixed-rate mortgage falling to 6.30%, down from 6.37% the previous week, according to the Mortgage Bankers Association’s (MBA) Weekly Applications Survey.
Applications for refinances increased 9% from the previous week and were up 111% compared with the same week one year ago.
Applications for purchases increased 5% compared with the previous week and were up 20% compared with the same week one year ago.
“Mortgage rates decreased for the fourth consecutive week, with the 30-year fixed rate down to 6.30 percent, its lowest level since September 2024,” says Joel Kan, vice president and deputy chief economist for the MBA, in a statement. “This recent decline in rates spurred the second consecutive week of increased refinance activity, driven mainly by conventional refinance applications.
“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,” Kan says. “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 refinance share of mortgage activity increased to 57.1% of total applications, down from 55.9% the previous week.
The adjustable-rate mortgage (ARM) share of activity decreased to 8.9% of total applications.
Photo: Ben Mullins