🔥 Refis Surge 40%: How Smart Lenders Will Win Before Rates Swing Back
Mortgage applications are on the rise again — and this time, lenders who act fast stand to gain the most. According to the latest Mortgage Bankers Association (MBA) Weekly Mortgage Applications Survey, total mortgage applications rose by 2.7% over the previous week, with refinance applications jumping 7% week-over-week and now sitting 40% higher than the same week last year. The key driver? A notable drop in mortgage rates has opened a rare window of opportunity, but it won’t stay open for long.
The average contract interest rate for a 30-year fixed mortgage fell to 6.79%, its lowest level since April. This applies to both conforming loan balances and jumbo loan balances, expanding opportunities for a wide range of borrowers. As Joel Kan, MBA’s Vice President and Deputy Chief Economist, noted:
“Mortgage rates dropped to their lowest level since April… Borrowers are responding, particularly in the refinance market.” — MBA Weekly Applications Survey, July 2, 2025
For lenders, this isn’t just good news — it’s a clear signal that the borrowers you want are ready to act now. The challenge? Turning a short-term spike in applications into closed loans before your competitors do. Here’s how smart lenders are doing exactly that.
🗝️ How to Win Refinance Borrowers Before They Shop Around
Refinance demand hasn’t just nudged up — it’s roaring back. According to MBA data, refinance applications are now 40% higher than the same week last year. VA refinance applications alone jumped 22% week-over-week. Homeowners are motivated to save money, and they’ll naturally gravitate toward lenders who reach them first with the strongest offers.
Top lenders are using trusted credit data to pinpoint qualified homeowners who stand to benefit most from refinancing. Personalized outreach, powered by verified credit insights, lets loan officers act before these borrowers shop around or get scooped up by competitors.
✅ Pro Tip: Pair targeted direct mail and email campaigns with AI tools that analyze borrower behavior and intent signals. This combination helps predict who’s likely to refinance soon — and ensures your offer lands before they start comparing rates elsewhere.
🏠 Smart Tactics to Nurture Home Purchase Leads in a Stable Market
While refinances are stealing the spotlight, the purchase market holds its own quiet promise. The seasonally adjusted purchase index rose just 0.1% week-over-week, but unadjusted purchase applications are up 16% from a year ago. That’s a sign that buyers — including first-timers and move-up shoppers — are motivated but cautious about rates.
To turn that interest into applications, lenders need to make it easy for buyers to see how a small rate dip boosts their buying power. Updated mortgage calculators, clear pre-approval tools, and educational resources can help move buyers off the fence.
On the marketing front, this is the perfect time to double down on digital strategies. Use search-optimized content, social media ads, and partnerships with local real estate agents to reach motivated buyers where they’re already looking for answers.
📊 Stay Ahead of Sudden Shifts in Borrower Intent
In this market, borrower intent can shift overnight. One drop in rates can trigger a wave of applications — but that window can close just as fast. The most successful mortgage marketers combine real-time rate tracking with borrower intent signals to pinpoint who’s ready to act right now.
Modern AI tools and data analytics help lenders prioritize the right prospects and personalize outreach at scale. One mid-sized lender, for example, used DataVue’s credit insights to identify 55% more qualified prospects in just a week — locking in deals before borrowers shopped around.
Building a strong personal brand on social media, sharing educational content, and staying visible in local markets all help lenders build trust and stay top-of-mind when borrowers are ready to move.
⚡ Ready to Capture the Next Surge Before Your Competitors Do?
This week’s numbers prove it: even modest shifts in rates can reignite borrower demand overnight. But only lenders with accurate credit data, modern marketing tools, and a nimble strategy will turn that spike into closed loans.
Don’t let this window pass you by. Discover how DataVue’s trusted credit marketing intelligence helps you find, reach, and convert the right borrowers — before your competitors do.
✅ Ready to capture more borrowers before the next rate swing? Let’s talk.
📌 Source: Mortgage Bankers Association Weekly Mortgage Applications Survey, week ending June 27, 2025