Interest expense for savings institutions in the West continued its downward slide in March, dropping about one-twentieth of a percentage point from February, according to industry statements.
The Cost of Funds Index (COFI) was reported at 2.21 percent for the month, down from 2.257 percent in February, according to a report issued by the Federal Home Loan Bank of San Francisco. According to charts available on the COFI site, March's numbers represent the 10th straight month of decline and the lowest COFI since tracking began in July of 1981.
Average total funds were reported at $376.2 billion, up from $358.2 billion in February with almost all of the increase realized in "other borrowings," according to the statement.
The index, which is used in determining many adjustable rate mortgages, is a compilation of data from all savings institutions that are members of the Federal Home Loan Bank of San Francisco.
Freddie Mac reported last week's one-year Treasury-indexed adjustable-rate mortgage at 3.79 percent average with an average six-tenths of a point; down from an average 4.91 percent last year.