An aerial view of residential homes, many with solar panels, on Sept. 17, 2025 in Fontana, California. Mario Tama | Getty Images Mortgage rates continued to climb higher last week, causing both current homeowners and potential home buyers to retreat from the market, especially first-time buyers. Total mortgage application volume fell 4.4% compared with the week before, according to the Mortgage Bankers Association's seasonally adjusted index. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances, $832,750 or less, increased to 6.45% from 6.37%, with points increasing to 0.66 from 0.61, including the origination fee, for loans with a 20% down payment. "The ongoing conflict in the Middle East continues to push rates higher. Mortgage rates last week increased to their highest level in a month," said Joel Kan, MBA's vice president and deputy chief economist in a release.…