Mortgage rates approach 3-year high as new applications plunge

Mortgage rates spiked to their highest level in nearly three years, with the weekly average 30-year fixed rate at 7.28% as of Thursday, Freddie Mac reported. That's up 0.94 points from a year ago and 0.25 points from last week. Mortgage applications fell 6% in the week ended Sept. 25, and ARMs made up 10.3% of applications, the highest since October 2025.