09/03/2026
Homebuyer activity is moving—but what does that actually mean for the housing market? 🏡
After hitting a historic low in 2023, home-purchase mortgage activity continued to strengthen in 2025.
Here are a few numbers worth paying attention to:
📈 Nearly 80% of major U.S. metro areas saw an increase in home-purchase loan applications in 2025, up from 65% in 2024.
💰 Nationwide, applications increased 2.0%, from 6.55 million to 6.68 million.
📉 The average mortgage interest rate edged down to 6.4%, compared with 6.6% in 2024.
🏦 About 54% of applications resulted in a loan, roughly the same as the year before.
But there’s another side to the story.
Even with improving demand, today’s market is still very different from 2019. Nearly 8 million people applied for home-purchase loans that year, compared with 6.68 million in 2025. And borrowing costs remain considerably higher, with the average mortgage rate at 6.4% in 2025 versus 4.9% in 2019.
So, yes—buyer activity is improving. But that doesn’t mean every market or every buyer is experiencing the same conditions.
That’s why looking at both mortgage applications and actual loan originations matters. Together, they give us a clearer picture of where buyer demand is growing and how successfully buyers are securing financing.
And if you’re thinking about buying in Maryland, I’m always happy to help you make sense of what these broader trends mean for your local market and your specific situation.