Since the Federal Reserve made its first rate cut in years in September, mortgage applications have been on a downward spiral, according to the Mortgage Bankers Association. That trend finally reversed in the week ending on Nov. 8.

Mortgage applications increased 0.5% on a seasonally adjusted basis from the previous week. The increase was fueled by a 2% jump week over week in purchase applications. Refinance applications decreased 2%.

It’s possible that the slight increase followed along with the hubbub of the Fed making its second cut of 25 basis points to the benchmark rate last week. Still, the increase in applications came at a time when mortgage rates increased, said Joel Kan, MBA’s vice president and deputy chief economist, in a statement.

“The Federal Reserve’s 25-basis-point rate cut was already anticipated and did little to move the markets,” Kan said. “The 30-year fixed rate was at 6.86 percent last week, its highest since July 2024. However, despite the increase in rates, applications increased for the first time in seven weeks.”

Year over year, refinance applications are 43% higher than the same week in 2023. Purchase applications are 1% higher than the same week in 2023.