Rising mortgage rates are making an impact on refinance mortgage application volume, according to new information from the Mortgage Bankers Association.
"The MBA's Weekly Mortgage Applications Survey for the week ending April 12 found that total volume fell 3.5% as the refinance index decreased 8% from the previous week," according to National Mortgage News.
"Falling interest rates through much of the first quarter culminated in a 39% increase in the refinance index just two weeks ago. But rates quickly turned, and refi volume fell by 11% for the week of April 5."
Meanwhile, purchase activity seems to be booming as many predicted for the spring season.
"Purchase activity remained strong and increased slightly, reaching its highest level since April 2010. The spring buying season continues to be robust, with activity more than 7% higher than a year ago and up year-over-year for the ninth straight week," according to Joel Kan, the MBA's associate vice president of economic and industry forecasting.
To learn more about the drop in refinance mortgage application volume, click on the image above.