Key facts
- Mortgage applications fell 2.9% for the week ending July 31.
- The 30-year fixed mortgage rate increased to 6.81%.
- Refinance applications decreased by 2% week-over-week.
- Purchase mortgage applications declined by 4% week-over-week.
- Mortgage intent, based on credit pull activity, fell 2.4% week-over-week to 119.8.
Mortgage applications saw a 2.9% decrease in the week ending July 31, according to data from the Mortgage Bankers Association (MBA). This decline occurred as the average interest rate for a 30-year fixed mortgage climbed to 6.81%, its highest level in over a year.
Both refinance and purchase mortgage activity experienced declines, with the refinance index falling 2% and the purchase index dropping 4% week-over-week. These figures indicate that overall demand for mortgages is weakening due to rising interest rates, and both segments are trailing behind last year's pace.
Mike Fratantoni, MBA’s senior vice president and chief economist, noted that the increase in longer-term rates following the July FOMC meeting directly contributed to the rise in mortgage rates. The refinance share of total applications slightly increased to 39.9%, while the adjustable-rate mortgage share decreased to 7.9%.
Additionally, Xactus's Mortgage Intent Index, which tracks credit-pull activity, fell 2.4% week-over-week to 119.8, the lowest non-holiday reading since December 2025. Thomas Lloyd, Xactus’s chief strategy officer, stated that sustained rate pressure is impacting consumer intent, which is now 6.9% below the same week last year.