New-home mortgage applications fall to 2026 low in August
New single-family home sales are estimated to have run at a seasonally adjusted annual rate of 664,000 units in August, up 2.6% from July’s 647,000-unit pace, though still roughly 9% below last year’s rate.
On an unadjusted basis, MBA estimates 52,000 new home sales in August, down 3.7% from 54,000 in July.
FHA demand rises as affordability pressure mounts
The product breakdown for August illustrated the degree to which buyers are depending on federal programs to bridge the affordability gap.
FHA loans composed 35.0% of applications, their highest share in three months, as higher mortgage rates pushed more buyers toward federally backed financing.
Conventional loans made up 49.5% of applications, VA loans 13.9%, and RHS/USDA loans 1.7%.
