Mortgage application volume fell 2.1% during the week ending March 7, on an adjusted basis, compared to the previous week, according to the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.
On an unadjusted basis, volume decreased 1% compared with the previous week.
The drop in application volume follows three consecutive weeks of slight increases.
Refinance volume also decreased, falling 3% compared to the previous week. The refinance share of mortgage activity decreased to 57% of total applications – down from 58% the previous week – to reach its lowest level since April 2011.
The drop in volume corresponds to a slight increase in mortgage interest rates. For the week ending March 7, the average interest rate for a 30-year fixed-rate mortgage (FRM) with conforming loan balance ($417,000 or less) was 4.52%, up from 4.47% the week prior.
The average rate for a 30-year FRM with jumbo loan balance (greater than $417,000) was 4.41%, up from 4.37%.
The average rate for a 30-year FRM backed by the Federal Housing Administration was 4.18%, up from 4.13%.
The average rate for a 15-year FRM was 3.53%, up from 3.52% the week prior.
The average rate for a 5/1 adjustable-rate mortgage (ARM) was 3.18%, up from 3.09% the week prior. The ARM share of activity remained unchanged at 8% of total applications.