Mortgage applications decreased 6% from one week earlier, according to data from the Mortgage Bankers Association’s weekly mortgage applications survey for the week ending Sept. 25, 2026.
On an unadjusted basis, the index decreased 6% compared with the previous week.
The refinance index decreased 9% from the previous week and was 56% lower than the same week one year ago. The seasonally adjusted purchase index decreased 4% from one week earlier, and the unadjusted purchase index decreased 5% compared with the previous week and was 14% lower than the same week one year ago.
“Mortgage rates jumped to their highest level in almost three years, pushing borrowers to the sidelines. The 30-year fixed rate increased for the sixth consecutive week to 7.3%, the highest rate since November 2023,” said Joel Kan, CMB, MBA’s vice president and deputy chief economist.
Kan continued, “Mortgage applications fell by 6% due to the recent surge in rates, with purchase and refinance applications both declining to their slowest weekly pace since 2025. Government refinances declined 13%, with both FHA and VA applications experiencing double-digit decreases over the week.
Added Kan, “ARM loans, with rates around 80 basis points lower than fixed-rate loans, accounted for 10.3% of applications, the highest share since October 2025.”
The refinance share of mortgage activity decreased to 38.3% of total applications from 39.3% the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 10.3% of total applications.
By product, the Federal Housing Administration (FHA) share of total applications remained unchanged at 16.7% from the week prior. The U.S. Department of Veterans Affairs (VA) share of total applications decreased to 11.9% from 12% the week prior. The U.S. Department of Agriculture (USDA) share of total applications decreased to 0.5% from 0.6% the week prior.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($832,750 or less) increased to 7.3% from 7.12%, and rates for loans with jumbo loan balances (greater than $832,750) increased to 7.27% from 7.15%.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 6.97% from 6.78%, and rates for 15-year fixed-rate mortgages increased to 6.56% from 6.43%. Rates for 5/1 ARMs increased to 6.47% from 6.1%.
Xactus Mortgage Intent Index
Xactus’s Mortgage Intent Index — which analyzes aggregated, anonymized credit-pull activity across the Xactus Intelligent Verification Platform — decreased to a reading of 108.9.
“The Xactus Mortgage Intent Index continued to deteriorate as upward pressure on mortgage rates weighed on borrower activity,” said Thomas Lloyd, Xactus’ chief strategy officer. “The index fell 7.6% week over week to 108.9, its lowest non-holiday reading of the year, and was approximately 18.6% below the same week last year.”
Lloyd said the decline underscores the “significant headwinds” facing the mortgage industry heading into the fourth quarter and signals continued weakness in borrower demand.
