US mortgage applications edge higher after recent slump

(Sharecast News) - Mortgage applications across the US inched higher last week following recent falls as long-term mortgage rates dropped to their lowest in 15 months. The volume of mortgage applications rose 0.3% over the seven days to 2 January, according to the Mortgage Bankers Association's (MBA) weekly survey published on Wednesday.



The increase followed three weeks of declines to close out 2025 with applications over the week to 26 December in particular dropping by 10%.

Over the two most recent weeks combined, that equated to a fall of 9.7%, keeping the total number of applications near their lowest since August 2025.

However, last week's slight pickup followed a drop in the average rate on 30-year fixed-rate mortgages to 6.25% from 6.32% the week before, falling to its lowest since September 2024.

Applications to refinance jumped 7.4% last week, though applications for first-time purchases fell by 6.2%.