Home mortgage rates are based upon bonds, and bonds invested last week bracing for the effect of greater energy rates. In the bond world, higher inflation begets greater rates, all else equal.
Oil costs stay raised, but fell more than 5% on Monday. The bond market reacted with a drop in Treasury yields (which generally correlate with home mortgage rates).
Both the 10yr Treasury yield and the average top-tier 30yr fixed home loan rate fell 0.06% on the day. That suggests home loans are now at the highest levels in just 3 months after being at 7-month highs on Friday afternoon.