Mortgage applications rise despite higher rates Purchase activity has now increased for two straight weeks

Didier Malagies • May 11, 2022


Prospective homebuyers aren’t deterred by the skyrocketing mortgage rates amid a slow start to the spring home-buying season this year. The Market Composite Index, a measure of loan application volume, rose 2 percent on a seasonally adjusted basis for the week ending May 6, from the previous week, according to the Mortgage Bankers Association.


Conventional, Federal Housing Administration (FHA) and Veterans Affairs (VA) purchase loan application volume led the gain in mortgage application volume even as mortgage rates rose to 5.53%, marking the highest since 2009, according to Joel Kan, MBA’s associate vice president of economic and industry forecasting.


“Despite a slow start to this year’s spring home buying season, prospective buyers
are showing some resiliency to higher rates. Purchase activity has now increased for two straight weeks,” Kan said in a statement.


The refinance share of mortgage activity dropped to 32.4% of total applications, from last week’s 33.9%.

“The rapid rise in mortgages rates continues to hit the refinance market, with activity 70
percent below a year ago. Most homeowners refinanced to lower rates in the past two years,” Kan added.

As mortgage rates surged, more borrowers continued to utilize adjustable-rate mortgages (ARMs). The ARM share of total applications rose to 10.8%, consisting of 19% of dollar volume, according to MBA.


HousingWire recently spoke with David Peskin, president of Reverse Mortgage Funding, who said entering the reverse mortgage business could allow originators to break into a growing market with significant demand that is largely untapped.



Presented by: RMF

The average contract interest rate for 30-year-fixed mortgages with conforming loan balances ($647,200 or less) rose to 5.53% this week from the previous week’s 5.36%. The average contract interest rate for 30-year fixed-rate mortgages with jumbo-loan balances (greater than $647,200) increased to 5.08%, from 4.92% the prior week.

The FHA share of total applications fell to 10.5% from 11.1% in the week prior. The share of VA applications rose marginally to 10.5% from 10.3% The USDA share slightly went up to 0.5% from 0.4%.

The survey, conducted since 1990, covers more than 75% of the retail residential mortgage applications.


Start Your Loan with DDA today
Your local Mortgage Broker

Mortgage Broker Largo
See our Reviews

Looking for more details? Listen to our extended podcast! 

Check out our other helpful videos to learn more about credit and residential mortgages.

Trigger leads bill advances to the House

By Didier Malagies • June 12, 2025
The federal bill that seeks to eliminate abusive trigger leads took a major step forward this week, advancing in the U.S. House of Representatives and reigniting hopes across the mortgage industry that it could soon become law. Yes, that's an important development for the mortgage and consumer protection landscape. The federal bill to eliminate abusive trigger leads recently advanced in the U.S. House of Representatives , which is a significant step toward potentially becoming law. Here’s what this means: 🔍 What Are Trigger Leads? When a consumer applies for a mortgage and a credit inquiry is made, credit bureaus can sell that information to other lenders. These are known as trigger leads . While legal, they often result in a flood of unsolicited calls or offers from competing lenders — many of which may be misleading or aggressive. 🏛️ About the Bill The legislation seeks to ban or strictly limit the use of trigger leads unless the consumer explicitly consents. It aims to: Protect consumers from confusing or predatory offers . Curb misleading solicitations that impersonate the original lender. Improve privacy and control over a borrower’s financial data. 🏠 Industry Reaction The mortgage industry and consumer advocacy groups have largely welcomed the move, arguing that trigger leads: Cause consumer confusion. Undermine trust in legitimate lenders. Lead to identity theft or fraud in some cases. 📅 What’s Next? The bill now moves to the Senate , where it will need to pass before reaching the President’s desk. Industry stakeholders are pushing for bipartisan support, noting the broad agreement on consumer protection. 

What are all the mortgage programs we offer

By Didier Malagies • June 9, 2025
We offer 2nd mortgages on primary, secondary, and investment properties we do purchases or refinances on Conventional, FHA, VA, and Non- Qm mortgages, We do Reverse Mortgages, Construction Permanent loans, FHA203k, and Conventional Renovation loans. Let me know how we can help you or someone you know tune in and learn at https://www.ddamortgage.com/blog Didier Malagies nmls#212566 dda mortgage nmls#324329

How will AI integrate with mortgages

By Didier Malagies • June 5, 2025
✅ What AI Will Do in Mortgages: Speed Up Approvals & Underwriting: AI can instantly verify income, assets, and credit. It reduces manual errors and shortens approval time from days to hours. Enhance Risk Assessment: Lenders use AI to evaluate risk more precisely, especially for non-traditional borrowers (e.g., gig workers, freelancers). Improve Customer Experience: Chatbots and virtual assistants handle common questions 24/7. Personalized loan options and real-time updates via apps or portals. Detect Fraud: AI is excellent at spotting red flags in documentation or transaction patterns. Automate Paperwork: AI can auto-fill forms, read legal documents, and streamline disclosures. ❌ What AI Won’t Do (Yet): Replace Human Loan Officers Entirely: Borrowers still want a human guide for major financial decisions. Emotional support, judgment calls, and trust still require human touch. Understand Complex Situations Fully: Edge cases like self-employed income, family co-borrowers, or mixed credit histories need human interpretation. Replace Regulatory Oversight: Compliance and legal accountability still rely on humans to interpret nuanced and changing rules. 🔮 Looking Ahead: Hybrid mortgage models (AI + human advisors) are becoming the norm. Lenders that use AI wisely will be faster, cheaper, and more customer-friendly. Borrowers may not realize how much AI is helping behind the scenes. 
Show More