Sales of previously owned US homes fell in August, according to industry data released Thursday, but lower mortgage rates and growing supply were likely to boost the industry.

Mortgage applications for new home purchases surged by 4.4% in August compared to last year’s period, according to the Mortgage Bankers Association’s (MBA) Builder Application Survey (BAS). However, the numbers remained unchanged when compared to July,

Sales decreased 2.5% month on month to a 3.86 million according to a report from the National Association of Realtors