Mortgage applications rise 1.9% despite elevated rates

Mortgage applications increased 1.9% from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) weekly mortgage applications survey for the week ending July 17, 2026.

On an unadjusted basis, the index increased 2% compared with last week’s data.

The refinance index decreased 2% from the previous week and was 7% higher than the same week one year ago. The seasonally adjusted purchase index increased 6% from one week earlier, and the unadjusted purchase index increased 6% compared with the previous week and was 0.2% higher than the same week one year ago.

“Mortgage rates reached another high point last week, with the 30-year conforming rate now at 6.69%, its highest level since last August,” said Mike Fratantoni, MBA’s SVP and chief economist. “However, purchase volume increased modestly for the week. Growing home inventory in many markets is supporting more purchase activity. Incoming data showed that inflation dropped in June, but with oil prices spiking again, that improvement seems unlikely to continue in July data, and mortgage rates are likely to remain higher as a result.”

The refinance share of mortgage activity decreased to 41.2% of total applications from 43.2% the previous week, while the adjustable-rate mortgage (ARM) share of activity increased to 7.7% of total applications.

The Federal Housing Administration (FHA) share of total applications decreased to 17.0% from 17.7% the week prior. The U.S. Department of Veterans Affairs (VA) share of total applications decreased to 13.2% from 13.65 the week prior. The U.S. Department of Agriculture (USDA) share of total applications remained unchanged at 0.5% from the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($832,750 or less) increased to 6.69% from 6.65% while rates for 30-year fixed-rate mortgages with jumbo loan balances (greater than $832,750) decreased to 6.44% from 6.62%.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 6.34% from 6.33% while the average rate for 15-year fixed-rate mortgages decreased to 6.04% from 6.05%. The average contract interest rate for 5/1 ARMs increased to 5.97% from 5.75%.

Xactus Mortgage Intent Index

Xactus’s Mortgage Intent Index — which analyzes aggregated, anonymized credit-pull activity across the Xactus Intelligent Verification Platform — increased slightly week over week to a reading of 126.2.

“The Xactus Mortgage Intent Index increased approximately 1.2% week over week to 126.2, marking a second consecutive week of modest gains following the July 4 holiday period,” said Thomas Lloyd, Xactus’ chief strategy officer. “The increase came despite a slight rise in mortgage rates, suggesting borrower activity has remained relatively stable even as financing conditions continue to challenge affordability.”

Lloyd continued, “Despite the weekly improvement, the index was approximately 7.0% below the same week in 2025, marking a second consecutive week of year-over-year declines. While recent activity suggests demand has stabilized following the holiday period, the annual comparisons indicate that elevated mortgage rates continue to temper borrower intent relative to last year.”