Purchase and refinance apps both climb, with purchase demand now 20% higher than a year ago, MBA reports
Mortgage applications bounced back last week, heading up after weeks of declines and hitting their highest level in more than a month, according to the latest data from the Mortgage Bankers Association (MBA).
Overall application volume rose 12.5% on a seasonally adjusted basis for the week ending June 6, 2025. On an unadjusted basis, volume surged 23% from the prior week.
“Despite ongoing uncertainty surrounding the economy, homebuyers seem to be taking advantage of loosening housing inventory in certain markets.” —Joel Kan, MBA VP, Deputy Chief Economist
MBA VP, Deputy Chief
Economist Joel Kan
Refinance activity led the way with a 16% week-over-week increase, now sitting 28% higher than the same week a year ago. But purchase applications also posted solid gains, rising 10% on a seasonally adjusted basis and 20% unadjusted, and were 20% ahead of last year’s pace.
“Coming out of the Memorial Day holiday, mortgage applications increased to the highest level in over a month, driven by growth in both purchase and refinance applications,” underscored Joel Kan, vice president, deputy chief economist at MBA.
“Treasury rates saw some movement during the week, which resulted in additional opportunities for borrowers. The rate for 15-year fixed rate loans and FHA loans saw declines last week, while the 30-year fixed rate was largely unchanged,” Kan noted.
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“Despite ongoing uncertainty surrounding the economy,” he added, “homebuyers seem to be taking advantage of loosening housing inventory in certain markets.”
Rates Mixed; FHA And 15-Year Fixed Move Lower
Interest rates were mixed last week:
30-year fixed conforming loans were up slightly to 6.93% from 6.92%;
30-year fixed jumbo loans were also up slightly to 6.93% from 6.92%;
FHA-backed 30-year fixed loans were down to 6.60% from 6.68%;
15-year fixed loans declined to 6.16% from 6.25%; and
5/1 ARMs were up to 6.22% from 6.14%.
Refinance And ARM Shares Rise
Refinancing made up 36.7% of total applications last week, up from 35.2% the week before. Adjustable-rate mortgages (ARMs) also saw a slight uptick in demand, accounting for 7.2% of total applications.
Government-backed loans saw mixed activity:
FHA loans’ share fell to 18.0% from 18.7%;
VA loans’ share declined to 11.6% from 12.6%; and
USDA loans’ share edged up to 0.6% from 0.5%.
The MBA’s Weekly Applications Survey covers U.S. closed-end residential mortgage applications originated through retail and consumer direct channels. It’s been conducted weekly since 1990.
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