Mortgage application volume dipped 1.3% on an adjusted basis during the week ended March 6, 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.
Applications for refinances decreased 3% while applications for purchases increased 2%.
On an unadjusted basis, applications for purchases increased 3% compared with the previous week and were 2% higher compared to the same week one year ago.
The refinance share of mortgage activity decreased to 60% of total applications from 62% the previous week.
The slowdown in applications for refinances came as mortgage interest rates increased slightly. The average rate for a 30-year fixed-rate mortgage (FRM) with conforming loan balance ($417,000 or less) was 4.01%, up from 3.96% the previous week.
The average rate for a 30-year FRM with jumbo loan balance (greater than $417,000) was 4.02%, up from 3.95%.
The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) was 3.80%, up from 3.76%.
The average rate for a 15-year FRM was 3.29%, up from 3.27%.
The average rate for a 5/1 adjustable-rate mortgage (ARM) was 3.18%, up from 3.05%.
The ARM share of activity increased to 5.6% of total applications.
The MBA says the average loan size for purchase applications increased to the highest level in the history of the survey at $294,900.
Looking at volume by loan type, applications for mortgages backed by the FHA represented 14.0% of all applications, down from 14.6% the previous week. Applications for Veterans Affairs mortgages represented 10.8% of all loans, up from 9.8% the previous week. Application volume for mortgages through the U.S. Department of Agriculture remained unchanged at 0.8% of all applications.