by Calculated Risk on 6/18/2025 07:00:00 AM
From the MBA: Mortgage Applications Decrease in Latest MBA Weekly Survey
Mortgage applications decreased 2.6 percent from one
week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage
Applications Survey for the week ending June 13, 2025.The Market Composite Index, a measure of mortgage loan application volume, decreased 2.6 percent on
a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 4
percent compared with the previous week. The Refinance Index decreased 2 percent from the previous
week and was 25 percent higher than the same week one year ago. The seasonally adjusted Purchase
Index decreased 3 percent from one week earlier. The unadjusted Purchase Index decreased 5 percent
compared with the previous week and was 14 percent higher than the same week one year ago.“Mortgage rates decreased last week, driven by financial market volatility caused by current geopolitical
conflict and ongoing tariff uncertainties. The 30-year fixed rate decreased to 6.84 percent, its lowest level
since April,” said Joel Kan, MBA’s Vice President and Deputy Chief Economist. “Even with lower average
mortgage rates, applications declined over the week as ongoing economic uncertainty weighed on
potential homebuyers’ purchase decisions.”Added Kan, “Refinance activity declined for both conventional and government borrowers. VA
applications, however, bucked the trend with a 2 percent increase in purchase applications and a slight
increase in refinance applications. Additionally, the overall average loan size at $380,200, was the lowest
since January 2025.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances
($806,500 or less) decreased to 6.84 percent from 6.93 percent, with points increasing to 0.66 from 0.64
(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 14% year-over-year unadjusted.
Red is a four-week average (blue is weekly).
The refinance index decreased and remains very low.
