The Mortgage Bankers Association (MBA) reported on Wednesday the mortgage application volume in the U.S. declined 0.9 percent in the week ended April 30, following a 2.5 percent fall in the previous week. 

According to the report, applications to purchase a home decreased 2.5 percent, while refinance applications increased 0.1 percent.

Meanwhile, the average fixed 30-year mortgage rate edged up from 3.17 percent to 3.18 percent.

“Both conventional and government purchase applications declined, but average loan sizes increased for each loan type,” noted Joel Kan, an MBA economist. “This is a sign that the competitive purchase market, driven by low housing inventory and high demand, is pushing prices higher and weighing down on activity.”