WASHINGTON—The newest weekly data show mortgage applications decreased 8.5% from one week earlier, according to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending April 11.

The MBA reported its Market Composite Index, a measure of mortgage loan application volume, decreased 8.5% on a seasonally adjusted basis from one week earlier, while on an unadjusted basis, the Index decreased 8% compared with the previous week. 

The pace of application filings isn’t likely to show that it picked up this week 

Big One-Week Jump

The average rate on a standard, 30-year fixed mortgage was 6.83% in the week ending April 17, up from 6.62% a week ago, Freddie Mac reported. That reflects the largest one-week jump in mortgage rates in nearly a year.

President Trump’s trade war and an inconsistent approach to tariffs is being blamed by analysts for the rise in mortgage 

Mortgage rates track the benchmark US 10-year Treasury yield, which spiked as high as 4.5% last week. The 10-year has fallen slightly since then, trading at around 4.3% on Thursday.

The average 30-year fixed mortgage rate remains below the 7% level it had reached this time last year, though.

“At this time last year, rates reached 7.1% while purchase application demand was 13% lower than it is today, a clear sign that this year’s spring homebuying season is off to a stronger start,” Sam Khater, Freddie Mac’s chief economist, said in a statement.

What the Data Show

Meanwhile the data from the Mortgage Bankers Association:

• The Refinance Index decreased 12% from the previous week and was 68% higher than the same week one year ago. 
• The seasonally adjusted Purchase Index decreased 5% from one week earlier. The unadjusted Purchase Index decreased 4% compared with the previous week and was 13%higher than the same week one year ago.

‘Abrupt’ Slowdown

“Mortgage rates moved 20 basis points higher last week, abruptly slowing the pace of mortgage application activity with refinance volume dropping 12% and purchase volume falling 5% for the week,” Purchase volume remains almost 13% above last year’s level, but economic uncertainty and the volatility in rates is likely to make at least some prospective buyers more hesitant to move forward with a purchase,” Mike Fratantoni, MBA’s SVP and chief economist, said in a statement. “One notable change last week was the full%age point increase in the ARM share. Given the jump in rates, more borrowers are opting for the lower initial rates that come with an ARM, with initial fixed rates closer to 6% in our survey last week. The ARM share at 9.6% was the highest since November 2023, and this reflects the share of units. On a dollar basis, almost a quarter of the application volume last week was for ARMs, as borrowers with larger loans are even more likely to opt for an ARM.”

Additional Data

The MBA reported the refinance share of mortgage activity decreased to 41.3% of total applications from 43.6% the previous week. 

In addition:

• The adjustable-rate mortgage (ARM) share of activity increased to 9.6% of total applications
• The FHA share of total applications decreased to 15.8% from 16.3% the week prior. 
• The VA share of total applications decreased to 13.7% from 15.7% the week prior. 
• The USDA share of total applications remained unchanged at 0.5% from the week prior
• The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($806,500 or less) increased to 6.81% from 6.61%, with points decreasing to 0.62 from 0.63 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate increased from last week.
• The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $806,500) increased to 6.84% from 6.6%, with points decreasing to 0.30 from 0.42 (including the origination fee) for 80% LTV loans. The effective rate increased from last week. 
• The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 6.52% from 6.33%, with points increasing to 0.82 from 0.75 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.
• The average contract interest rate for 15-year fixed-rate mortgages increased to 6.11% from 5.93%, with points decreasing to 0.62 from 0.64 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.
• The average contract interest rate for 5/1 ARMs increased to 6.11% from 5.93%, with points increasing to 0.56 from 0.29 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.