Mortgage Applications Decrease in Latest MBA Weekly Survey
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Mortgage applications decreased 0.3% from one week earlier, according to the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending October 17, 2025.
The Market Composite Index, a measure of mortgage loan application volume, decreased 0.3% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 0.2% compared with the previous week. The Refinance Index increased 4% from the previous week and was 81% higher than the same week one year ago. The seasonally adjusted Purchase Index decreased 5% from one week earlier. The unadjusted Purchase Index decreased 5% compared with the previous week and was 20% higher than the same week one year ago.
“The lowest mortgage rates in a month spurred an increase in refinance activity, including another pickup in ARM applications. The 30-year fixed rate decreased to 6.37% and all other loan types also decreased,” said Joel Kan, MBA’s Vice President and Deputy Chief Economist. “The refinance index increased 4%, driven by a 6% increase in conventional refinances and a 12% increase in FHA refinance applications, as borrowers remain attentive to these opportunities to lower their monthly mortgage payment. VA refinances bucked the trend and were down 12%.”
Added Kan, “ARM applications increased 16% over the week, which pushed the ARM share to 11%, with the ARM rate more than 80 basis points lower than the 30-year fixed rate. Purchase applications were down over the week but remained 20% higher than a year ago.”
The refinance share of mortgage activity increased to 55.9% of total applications from 53.6% the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 10.8% of total applications.
The FHA share of total applications increased to 21.8% from 20.5% the week prior. The VA share of total applications decreased to 13.5% from 14.9% the week prior. The USDA share of total applications decreased to 0.3% from 0.4% the week prior.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($806,500 or less) decreased to 6.37% from 6.42%, with points decreasing to 0.59 from 0.61 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate decreased from last week.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $806,500) decreased to 6.39% from 6.47%, with points decreasing to 0.37 from 0.53 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA decreased to 6.12% from 6.19%, with points decreasing to 0.72 from 0.76 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.
The average contract interest rate for 15-year fixed-rate mortgages decreased to 5.74% from 5.77%, with points decreasing to 0.67 from 0.70 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.
The average contract interest rate for 5/1 ARMs decreased to 5.55% from 5.63%, with points increasing to 0.62 from 0.59 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.
