ARM Mortgage Demand Rises as 30-Year Fixed Rate Hits 14-Month High

Mortgage rates rise as 30-year rates hit 6.85%, pushing more homebuyers toward ARMs as demand falls 2.7%

Mortgage rates rose to 6.85%, pushing more borrowers toward ARMs as total mortgage demand fell 2.7% and refinance applications dropped 6%.

ARM mortgage demand rises as 30-year fixed rate hits 14-month high

The share of mortgage applications for ARMs rose to 8.5% last week as the 30-year fixed rate climbed to 6.85%, its highest since June 2025

Demand for riskier mortgages rises again, along with interest rates

Mortgage rates continue to climb, so more borrowers are turning to adjustable rate mortgages, which offer lower interest rates comparatively.