While mortgage applications were down this past week, the Mortgage Bankers Association (MBA) pointed to steadier mortgage rates and increased inventory as positive signs for this year’s spring housing market.
According to MBA’s latest Weekly Mortgage Applications Survey for the week ending March 14, 2025, the Market Composite Index (a measure of mortgage loan application volume) decreased 6.2% from the previous week’s 11.2% increase. On an unadjusted basis, the Index decreased 6% compared with the previous week.
“Mortgage rates increased for the first time in nine weeks, with the 30-year fixed rate rising to 6.72%,” said Mike Fratantoni, MBA’s SVP and chief economist. “This increase in rates led to a decrease in refinance volume. However, purchase application volume inched up to its highest level in six weeks, led by a 3% increase in FHA purchase applications.”
The Refinance Index also saw a decrease of 13% from the previous week, however MBA reported that Index was 70% higher than the same week one year ago. The seasonally adjusted Purchase Index increased 0.1% from one week earlier. The unadjusted Purchase Index increased 1% compared with the previous week and was 6% higher than the same week one year ago.
“Overall, purchase application volume is up 6% compared to last year at this time,” Fratantoni added. “Growing inventories of homes on the market and steadier mortgage rates are supporting homebuying activity thus far this spring.”
More from this week’s report: The refinance share of mortgage activity decreased to 42.0% of total applications from 45.6% the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 6.7% of total applications.
To view the full report, click here.
