US mortgage rates rise for first time in nine weeks
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The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances (up to $766,550) in the US increased for the first time in nine weeks, rising to 6.72% in the week ending March 14, 2025, from 6.67% in the previous period, according to the Mortgage Bankers Association.
Mortgage applications in the United States fell by 6.2% during the second week of March, trimming the cumulative 37% surge seen over the previous two weeks, according to the latest data from the Mortgage Bankers Association. This pullback aligns with the rebound in yields on long-maturity government bonds and mortgage-backed securities, which contributed to the first increase in benchmark mortgage rates in nine weeks. Applications for refinancing, which are more sensitive to short-term interest rate changes, saw a sharp decline of 13% compared to the prior week. In contrast, applications for new home purchases remained relatively stable, showing little change during the same period.
US mortgage rates rise for first time in nine weeks
This marks a notable shift from a year earlier, when the rate stood at 6.97%. Meanwhile, the interest rate for jumbo loans, covering mortgages for homes priced above $806,500, rose to 6.78%, up from 6.68% the previous week. Additionally, the average rate for a 30-year mortgage backed by the Federal Housing Administration increased to 6.4%, compared to 6.34% in the prior week.US Mortgage Applications Pull Back
Mortgage applications in the United States fell by 6.2% during the second week of March, trimming the cumulative 37% surge seen over the previous two weeks, according to the latest data from the Mortgage Bankers Association. This pullback aligns with the rebound in yields on long-maturity government bonds and mortgage-backed securities, which contributed to the first increase in benchmark mortgage rates in nine weeks. Applications for refinancing, which are more sensitive to short-term interest rate changes, saw a sharp decline of 13% compared to the prior week. In contrast, applications for new home purchases remained relatively stable, showing little change during the same period.