US Mortgage Applications Edge Higher in the Week Ending November 21

According to the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Friday, November 21, the Market Composite Index—a measure of mortgage loan application volume—increased 0.2% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 2.0%.

The Refinance Index decreased 6.0% from the previous week but was 117.0% higher than the same week one year ago.

The seasonally adjusted Purchase Index increased 8.0% from one week earlier. On an unadjusted basis, the Purchase Index rose 2.0% compared with the prior week and was 20.0% higher than the same week a year ago.

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

“Mortgage rates crept higher last week, with the 30-year fixed rate up to 6.4%, its highest level since early October. Despite these slightly higher rates, purchase applications increased over the week and remained at a stronger pace than a year ago, with increases across conventional and government purchase applications. The government purchase index, which includes FHA, VA, and USDA applications, increased 9% and had the strongest week since 2023. Despite slowing home-price growth and lower mortgage rates, affordability remains a challenge in many markets and government loan programs remain appealing to qualified buyers looking to purchase a home. The average purchase loan size decreased to its lowest level in two months.

Rates have increased by around 10 basis points over the past four weeks and given that many borrowers have been looking to capitalize on rate drops, refinance applications last week declined almost 6% to the slowest weekly pace since September.”