After falling about 5.5% the previous week, mortgage application volume increased 1.6% on an adjusted basis during the week ended June 19, according to the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.
On an unadjusted basis, volume was up 1% compared to the previous week.
Applications for refinances increased 2%, as rates declined slightly, while applications for purchases increased 1%.
On an unadjusted basis, applications for purchases were flat compared with the previous week and were 18% higher compared to the same week one year ago.
The refinance share of mortgage activity increased to 49% of total applications, up from 48.5% the previous week.
Although fixed mortgage rates decreased slightly compared to the previous week, they remained well above 4%.
The average rate for a 30-year fixed-rate mortgage (FRM) with conforming loan balance ($417,000 or less) was 4.19%, down from 4.22% the previous week.
The average rate for a 30-year FRM with jumbo loan balance (greater than $417,000) was 4.14%, down from 4.18%.
The average rate for a 30-year FRM backed by the Federal Housing Administration (FHA) was 3.96%, down from 4.00%.
The average rate for a 15-year FRM was 3.38%, down from 3.43%.
The average rate for a 5/1 adjustable-rate mortgage (ARM) was 3.04%, down from 3.15%.
The ARM share of activity increased to 7.0% of total applications.
Looking at application volume by loan type, the FHA's share of total applications was 13.9%, down from 14.2% the week prior. The Veterans Affairs' share of total applications was 10.9%, down from 11.5% the week prior. The U.S. Department of Agriculture's share of total applications remained unchanged at 0.9%.