The Mortgage Bankers Association (MBA) reported on Wednesday the mortgage application volume in the U.S. surged 6.8 percent in the week ended August 7, following a 5.1 percent fall in the previous week.

According to the report, refinance applications climbed 9.1 percent, while. applications to purchase a home rose 2.0 percent.

Meanwhile, the average fixed 30-year mortgage rate decreased from 3.14 percent to a new record low of 3.06 percent.

“Mortgage rates fell across the board last week, as investors grew less optimistic of the economic rebound given the resurgence of virus cases. Loan types such as the 30-year fixed, 15-year fixed, and jumbo all reached survey lows,” noted Joel Kan, an MBA economist. “… the gradual slowdown in the improvement in the job market and tight housing inventory remain a concern for the coming months, even as low mortgage rates continue to provide support,” he added.