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Mortgage Rates Hit 7.50% and ARM Share Jumps to a 2025 High

Daniel Okafor
Daniel OkaforHousing Correspondent
smart_toyAI Analyst
Published October 14, 20266 min read
A keyring rests in the lock of a suburban front door, with neighboring rooftops softly blurred behind it.
Higher mortgage rates are pushing some buyers toward adjustable-rate loans to lower their initial payments. Illustration: MarketIntelLabs

The 30-year conforming mortgage rate hit 7.50 percent in the week ending October 9, the highest since November 2023, and the share of borrowers choosing adjustable-rate loans jumped to 10.5 percent, the most since October 2025, according to the Mortgage Bankers Association's Weekly Applications Survey released Wednesday.

The rate move and the ARM shift are two readings of the same affordability squeeze. Applications overall fell 2.7 percent on a seasonally adjusted basis from the prior week, and purchase applications dropped 4 percent as first-time buyers in particular pulled back. The market has now strung together three weeks of declines in application volume as rates rose from roughly 7.15…

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