US Mortgage Applications Decline in the Week Ending August 29

According to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Friday, August 29, the Market Composite Index—a measure of mortgage loan application volume—decreased 1.2% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index fell 3.0%.

The Refinance Index rose 1.0% from the previous week and was 20.0% higher than the same week one year ago.

The seasonally adjusted Purchase Index declined 3.0% from one week earlier. On an unadjusted basis, the Purchase Index fell 6.0% from the prior week but was 17.0% higher than the same week one year ago.

In remarks accompanying the release, MBA Vice President and Deputy Chief Economist Joel Kan said:

“Mortgage rates declined last week, with the 30-year fixed rate decreasing to its lowest level since April to 6.64%. However, that was not enough to spark more application activity. Refinance applications saw a small increase from the previous week, driven by FHA and VA refinance applications, but conventional refinances declined. The FHA rate is averaging about 30 basis points lower than the conventional rate in 2025, which has made those loans relatively more appealing to eligible borrowers. Purchase activity pulled back, after a four-week run of increases, as slower homebuying activity led to declines in applications across the various loan types.”