Mortgage application activity rebounded last week as falling rates boosted both purchase and refinance demand. The Mortgage Bankers Association’s weekly survey for the week ending August 1, 2025, showed a 3.1% increase in the seasonally adjusted Composite Index from the prior week. “Mortgage rates moved lower last week, following declining Treasury yields as economic data releases signaled a weakening U.S. economy,” said Joel Kan, MBA’s Vice President and Deputy Chief Economist. “As a result, the 30-year fixed rate decreased for the third straight week to 6.77%, and applications for both purchase and refinance increased.” The Refinance Index rose 5% week-over-week and is 18% higher than the same week in 2024. The seasonally adjusted Purchase Index increased 2% (unadjusted up 1%) and is also 18% above year-ago levels. The refinance share of total mortgage applications increased to 41.5% from 40.7% the previous week.  It’s now at its highest level since April. The adjustable-rate mortgage (ARM) share rose to 8.5%. FHA share edged down to 18.5% from 18.8%, while VA share increased to 13.3% from 12.2%. Mortgage Rate Summary:
30yr Fixed: 6.77% (from 6.83%) | Points: 0.59 (from 0.60)
15yr Fixed: 6.03% (from 6.12%) | Points: 0.66 (from 0.64)
Jumbo 30yr: 6.65% (from 6.74%) | Points: 0.59 (from 0.51)
FHA: 6.47% (from 6.56%) | Points: 0.81 (from 0.83)
5/1 ARM: 6.06% (from 6.22%) | Points: 0.49 (from 0.51)