Average Mortgage Rates Fall To Two-Month Low

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates fell last week from one week earlier. Rates were down across all loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, 15-year fixed-rate loans, and 5/1 ARMs. Joel Kan, MBA’s vice president and deputy chief economist, says rates are now at a two-month low. “Mortgage rates decreased last week, driven by financial market volatility caused by current geopolitical conflict and ongoing tariff uncertainties,” Kan said. “The 30-year fixed rate decreased to … its lowest level since April.” But despite more favorable rates, demand for loans decreased from one week earlier, with purchase demand down 3 percent week-over-week and refinance activity 2 percent lower. The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications.