Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners seeking to refinance their loans to a lower rate, also eased.

Applications for mortgages rose sharply as homeowners and home buyers pounced on falling mortgage rates. The 30-year rate fell to the lowest level since September 2022 ahead of a highly anticipated rate cut by the Federal Reserve on Wednesday.

After plummeting earlier this week to their lowest levels since early 2023, refinance rates on 30-year, 20-year, and 15-year mortgages have all jumped higher.

Mortgage rates continued their downward trajectory, which helped revive the purchase and refinance demand for many consumers, according to the latest Freddie Mac Primary Mortgage Survey. The 30-year fixed-rate mortgages averaged 6.