WASHINGTON–Total mortgage applications rose 11.2% week to week after rates hit their lowest point since October of 2024, according to the Mortgage Bankers Association’s seasonally adjusted index.

According to the MBA, the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances, $806,500 or less, decreased last week to 6.67% from 6.73%, with points increasing to 0.63 from 0.60, including the origination fee, for loans with a 20% down payment. The rate was 17 basis points lower than it was the same week one year ago, the MBA data show.

“Mortgage rates declined for the sixth consecutive week, with the 30-year fixed rate dropping to 6.67%, the lowest level since October 2024,” Joel Kan, an MBA economist, said in a statement. 

Up 16%

Applications to refinance a home loan, which are most influenced by weekly rate changes, climbed 16% from the previous week and were 90% higher than the same week one year ago. The vast majority of borrowers today have rates well below what is available today, but those who bought in the last two years, when rates were higher, may now be able to get some savings. The percentage increases are large mainly because the total volume is still quite low.

In addition, the MBA reported that applications for a mortgage to purchase a home rose 7% for the week and were 4% higher than the same week one year ago.