A slight drop in interest rates was not enough to rejuvenate the mortgage market, although refinances are still elevated since the Brexit vote caused the initial rate plunge.
Total mortgage application volume fell 3.5 percent last week on a seasonally adjusted basis from the previous week, according to the Mortgage Bankers Association.
Refinance volume, which is highly rate-sensitive, fell 4 percent last week, but it is nearly 56 percent higher than one year ago, when rates were higher. The drop in rates after the Brexit vote brought the total number of borrowers who would benefit from a refinance to 8.7 million, according to Black Knight Financial Services.
