U.S. mortgage applications fell 6% in the week ending Sept. 25, extending the decline to six consecutive weeks as borrowing costs rose. The average contract rate for 30-year fixed-rate mortgages with conforming balances of up to $832,750 increased to 7.30% from 7.12%, its highest level since November 2023. Points, including origination fees, rose to 0.75 from 0.73 for loans with 20% down payments. Refinancing applications dropped 9% on the week and were 56% below the year-earlier level, reducing refinancing's share of total activity to 38.3% from 39.3%. Government-backed refinancing fell 13%, with both FHA and VA applications registering double-digit declines, according to MBA economist Joel Kan. Purchase applications decreased 4% as buyers faced higher mortgage rates and continued annual home-price increases. Adjustable-rate mortgages, whose rates were about 80 basis points below fixed loans, represented 10.3% of applications, the highest share since October 2025.