Home-Purchase Loans Increased in Nearly 80% of Major Metropolitan Areas in 2025

Home-purchase mortgage applications provide valuable insights into housing demand and market trends at both the national and local levels. Nationally, data on loan applications can help us understand whether affordability conditions are improving and the direction of the overall economy’s health. Locally, data from metropolitan areas can help REALTORS® gauge how many households are seeking to buy a home and identify markets with growing opportunities.

Data from the Home Mortgage Disclosure Act (HMDA) show that home-purchase mortgage applications fell to a historic low in 2023. Since 2024, however, demand has strengthened as application activity has steadily increased.

Between 2024 and 2025, the number of home-purchase applications increased by 2.0%, rising from 6.55 million to 6.68 million nationwide. This growth resulted in 3.6 million mortgages originating in 2025, up from 3.52[NE1.1] million in 2024. Looking at the most recent data, a key factor behind the growth was the mild decline in borrowing rates. In 2025, the average mortgage interest rate was 6.4%, down from 6.6% just one year earlier. In 2025, the typical mortgage applicant had a median income of $109,322, sought a median loan amount of $303,921, and aimed to buy a property with a median value of $371,462.

In 2025, the typical mortgage applicant had a median income of $109,322, sought a median loan amount of $303,921, and aimed to buy a property with a median value of $371,462.

By: Anat Nusinovich

For more information : https://www.nar.realtor/news/economists-outlook/home-purchase-loans-increased-in-nearly-80-of-major-metropolitan-areas-in-2025