Home mortgage application activity decreased for the second successive week as rising rate of interest continued to weigh on need. The Mortgage Bankers Association (MBA) reported a decline of 10.5% on a seasonally changed basis for the week ending March 20.
Both major elements moved lower. The Refinance Index fell 15% from the previous week, though it stayed 52% greater than the exact same week one year back.
Purchase activity also softened, with the seasonally adjusted Purchase Index declining 5% and running 5% above year-ago levels.
According to MBA’s Joel Kan, constantly elevated Treasury yields– driven in part by greater oil prices and inflation concerns– pressed home loan rates higher across the board. The average 30-year fixed rate climbed to its highest level because October 2025, further eroding refinance incentives and dampening purchase need.
The composition of activity shifted even more away from refinances. The refinance share of total applications reduced to 49.6% from 52.3% the prior week, while ARM share increased somewhat to 8.1%. FHA share rose to 19.7%, VA share declined to 15.9%, and USDA share edged as much as 0.5%.
Mortgage Rate Summary:
- 30yr Fixed: 6.43% (from 6.30%)|Points: 0.65 (from 0.63)
- 15yr Repaired: 5.83% (from 5.66%)|Points: 0.80 (from 0.73)
- Jumbo 30yr: 6.45% (from 6.39%)|Points: 0.56 (from 0.34)
- FHA: 6.15% (from 6.08%)|Points: 0.75 (from 0.70)
- 5/1 ARM: 5.75% (from 5.65%)|Points: 0.68 (from 0.67)