Mortgage applications fall 1.9% in late October

Mortgage applications decreased 1.9% from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) weekly mortgage applications survey for the week ending October 31, 2025.

On an unadjusted basis, the index decreased 3% compared with the previous week.

The refinance index decreased 3% from the previous week and was 151% higher than the same week one year ago.

The seasonally adjusted purchase index decreased 1% from one week earlier. The unadjusted purchase index decreased 2% compared with the previous week and was 26% higher than the same week one year ago.

“Mortgage rate movements were mixed last week as Treasury yields moved slightly higher following last week’s FOMC meeting. The 30-year fixed rate was mostly unchanged at 6.31% and remained close to the lowest level in over a year,” said Joel Kan, MBA’s vice president and deputy chief economist. “Despite a decline last week, refinance applications are still significantly higher than a year ago. The average loan size for refinance applications was at its highest level in six weeks, as borrowers with larger loans continued to seek ways to lower their monthly payments. Purchase applications declined slightly from a week ago, however, there was a slight increase in FHA purchase applications as prospective homebuyers continue to seek loan options to help manage challenging affordability conditions.”

The refinance share of mortgage activity decreased to 57.0% of total applications from 57.1% the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 8.7% of total applications. The Federal Housing Administration (FHA) share of total applications also decreased to 18.5% from 20.5% the week prior.

The U.S. Department of Veterans Affairs (VA) share of total applications, meanwhile, increased to 14.9% from 13.4% the week prior. The U.S. Department of Agriculture (USDA) share of total applications also saw an increase, inching up to 0.3% from 0.2% the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances increased to 6.31% from 6.30% and rates for 30-year fixed-rate mortgages with jumbo loan balances increased to 6.43% from 6.38%.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 6.13% from 6.12% while average rates for 15-year fixed-rate mortgages decreased to 5.65% from 5.67%. The average contract interest rate for 5/1 ARMs decreased to 5.56% from 5.66%.