Interest rates pulled back slightly last week, but it was enough to push mortgage volume higher.
Total applications rose 1.6 percent week to week on a seasonally adjusted basis in the week ending June 19, according to the Mortgage Bankers Association. Volume is now 10.9 percent higher than a year ago.
Refinance applications, which are more rate-sensitive, rose 2 percent for the week seasonally adjusted, and are up just over 4 percent from a year ago, when interest rates were slightly higher. Mortgage applications to purchase a home rose just 1 percent from the previous week, but are 18 percent higher than a year ago.
"The 18 percent [annual] gain in purchase application volume is yet another sign of growing strength in the housing market following this week's stronger numbers on new and existing home sales," said Michael Fratantoni, the association's chief economist.