Mortgage applications to buy a home rose 6% last week, marking the strongest pace since September, as increased supply and softening prices encouraged buyers.

Volume was 31% higher than the same week a year ago, despite the average 30-year fixed mortgage rate rising slightly to 6.34%.

Demand for refinancing fell 3% for the week but remained 147% higher than last year, reflecting lower rates.

Economist Joel Kan noted that conventional, FHA, and VA purchase applications increased as buyers shopped in markets with more inventory and slower price growth, CNBC has reported.

Mortgage rates have remained mostly steady this week, though markets are watching for potential changes if the government shutdown ends.