New-Home Mortgage Applications Rose 11% Year Over Year in March, Shifting Purchase Volume to Builders

Mortgage applications for new-home purchases rose 26% in March compared to February, reaching 69,000 estimated new-home sales for the month. This increase reflects a growing shift in purchase volume toward the builder channel, with new-home financing becoming a more reliable source of business for loan officers. Despite ongoing rate volatility and a sluggish spring market for resales, new-home applications climbed 11% year over year. The data highlights that builder relationships, once a secondary channel, are now central to maintaining purchase volume. For mortgage professionals, the March figures reinforce a broader trend: if the deal isn’t in resale, it’s increasingly in new construction.