Mortgage application volume declined 2.8 percent during the week ending Sept. 21, the Associated Press reported.

The Mortgage Bankers Association’s weekly application index declined to 654.2 from 673.2 the previous week.

Refinance volume increased 3.3 percent during the week, while purchase volume fell 8.3 percent. Refinance applications accounted for 46.4 percent of all applications, up from 43.5 percent a week ago.

Application volume dipped as interest rates on traditional fixed-rate mortgages rose. The average interest rate for a traditional 30-year fixed-rate mortgage increased to 6.38 percent for the week ending Sept. 21 from 6.29 percent the prior week.

As adjustable-rate mortgages continue to fall out of favor with lenders because of their rising delinquency and default rates, average interest rates on those loans declined last week. The average interest rate for one-year adjustable-rate mortgages – loans with a fixed interest rate for one year before becoming adjustable – fell to 6.09 percent from 6.39 percent the previous week.