Mortgage rates remained at a record low last week, but refinance demand pulled back anyway.
That, in addition to a brief respite in the surprisingly strong demand from homebuyers, caused total mortgage application volume to fall 8.7% on a seasonally adjusted basis from the previous week, according to the Mortgage Bankers Association.
Homebuyer mortgage applications have been surging for five straight weeks, thanks to pent-up demand from March and April and a coronavirus-induced desire by more consumers to find more space and escape urban apartments. Purchase mortgage volume fell 3% for the week but was a remarkable 18% higher than a year ago.
“One factor that may potentially crimp growth…