Mortgage demand jumps to the highest level in three years, as interest rates drop sharply

by anastasiakaufman-chime-me

Published Wed, Sep 10 20257:00 AM EDTUpdated Wed, Sep 10 20258:12 AM EDT

By: Diana Olick

SAN FRANCISCO, CALIFORNIA - AUGUST 27: An aerial view of homes in a neighborhood on August 27, 2025 in San Francisco, California. According to a report by the California Association of Realtors, sales of existing, single-family homes in California fell 4.1 percent year over year, with a total of 261,820 homes sold in July 2025. (Photo by Justin Sullivan/Getty Images)

An aerial view of homes in a neighborhood on Aug.27, 2025 in San Francisco, California.Justin Sullivan | Getty Images

A sharp drop in mortgage interest rates finally got some homebuyers off the fence. It also helped more current homeowners save on their monthly payments

Total mortgage application volume jumped 9.2% last week compared with the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index. The week’s results include an adjustment for the Labor Day holiday. LEARN MORE…

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