The Mortgage Bankers Association (MBA) reported on Wednesday the mortgage application volume in the U.S. fell 8.7 percent in the week ended June 19, following an 8.0 percent surge in the previous week.

According to the report, refinance applications decreased 11.7 percent, while applications to purchase a home fell 3.0 percent.

Meanwhile, the average fixed 30-year mortgage rate remained at a record low 3.30 percent.

“One factor that may potentially crimp growth in the months ahead is that the release of pent-up demand from earlier this spring is clashing with the tight supply of new and existing homes on the market,” noted Joel Kan, an MBA economist. “Additional housing inventory is needed to give buyers more options and to keep home prices from rising too fast.”