Mortgage Application Payments Increased In April

Homebuyer affordability declined in April, with the national median payment applied for by purchase applicants increasing to $2,152 from $2,131 in March. This is according to the Mortgage Bankers Association’s (MBA) Purchase Applications Payment Index (PAPI), which measures how new monthly mortgage payments vary across time – relative to income – using data from MBA’s Weekly Applications Survey (WAS).

“Housing affordability conditions weakened slightly in April, as mortgage rates edged higher and rising loan amounts pushed monthly payments up from March. However, affordability remains improved compared to a year ago, supported by lower mortgage rates and continued income growth,” said Edward Seiler, MBA’s Associate Vice President of Housing Economics and Executive Director of the Research Institute for Housing America. “Looking ahead, continued income gains and some stabilization in mortgage rates could help support better affordability conditions.”

An increase in MBA’s PAPI – indicative of declining borrower affordability conditions – means that the mortgage payment to income ratio (PIR) is higher due to increasing application loan amounts, rising mortgage rates, or a decrease in earnings. A decrease in the PAPI – indicative of improving borrower affordability conditions – occurs when loan application amounts decrease, mortgage rates decrease, or earnings increase.

The national PAPI increased 0.3 percent to 156.0 in April from 155.5 in March. While payments decreased 1.6 percent, earnings growth of 4.0 percent means that the PAPI is down (affordability is higher) 5.3 percent on an annual basis. For borrowers applying for lower-payment mortgages (the 25th percentile), the national mortgage payment increased to $1,493 in April from $1,479 in March.

MBA’s national mortgage payment to rent ratio (MPRR) decreased from 1.38 at the end of the fourth quarter (December 2025) to 1.35 at the end of the first quarter (March 2026), meaning mortgage payments for home purchases have decreased relative to rents. The Census Bureau’s HVS national median asking rent in first-quarter 2026 increased to $1,579 ($1,464 in fourth-quarter 2025). The 25th percentile mortgage application payment to median asking rent ratio decreased to 0.94 in March (0.96 in December 2025).

The Builders’ Purchase Application Payment Index (BPAPI) showed that the median mortgage payment for purchase mortgages from MBA’s Builder Application Survey decreased to $2,188 in April from $2,210 in March.

Additional Key Findings of MBA’s Purchase Applications Payment Index (PAPI) – April 2026

  *   The national median mortgage payment was $2,152 in April 2026—up $21 from March. It was down by $35 from one year ago, equal to a 1.6% decrease.
  *   The national median mortgage payment for FHA loan applicants was $1,829 in April, up from $1,812 in March and down from $1,895 in April 2025.
  *   The national median mortgage payment for conventional loan applicants was $2,166, up from $2,145 in March and down from $2,206 in April 2025.
  *   The top five states with the highest PAPI were: Idaho (248.1), Nevada (228.4), Rhode Island (206.9), Arizona (202.2), and Tennessee (194.8).
  *   The top five states with the lowest PAPI were: Louisiana (120.1), Hawaii (124.4), D.C. (125.2), Connecticut (125.2), New York (116.7), and Maryland (128.4).
  *   Homebuyer affordability decreased for Black households, with the national PAPI increasing from 161.0 in March to 161.5 in April.
  *   Homebuyer affordability decreased for Hispanic households, with the national PAPI increasing from 143.9 in March to 144.3 in April.
  *   Homebuyer affordability decreased for White households, with the national PAPI increasing from 156.8 in March to 157.3 in April.