U.S. weekly mortgage applications fall 3.3 percent

The Mortgage Bankers Association (MBA) reported on Wednesday the mortgage application volume in the U.S. fell 3.3 percent in the week ended August 14, following a 6.8 percent surge in the previous week.

According to the report, refinance applications declined 5.3 percent, while. applications to purchase a home rose 0.8 percent.

Meanwhile, the average fixed 30-year mortgage rate increased to 3.13 percent from a record low of 3.06 percent.

“Positive economic data reported last week on retail sales, as well as a large U.S. Treasury auction, drove mortgage rates to their highest level in two weeks,” noted Joel Kan, an MBA economist. “The housing market remains a bright spot in the current economic recovery, and these results, combined with July data on housing starts and homebuilder optimism, suggest that housing supply could be increasing to better meet the strong demand for buying a home,” he added.