After jumping a quarter percent the previous month, the Cost of Funds Index eased in April.
COFI came in at 1.825 percent last month, the Federal Home Loan Bank of San Francisco reported today.
The index declined from 1.859 percent in March. A year earlier, COFI stood at just 1.380 percent.
COFI, which is used as an index for some adjustable-rate mortgages, is calculated based on the interest expense of 11th District FHLB members headquartered in Arizona, California and Nevada.
Average total funds used in April’s calculation were $38.1 billion, slightly lower than $38.5 billion in March.
Another index, the monthly Treasury yield, was 0.45 percent last month, higher than 0.40 percent in March but below 0.55 percent in April 2009.
Adjustable-rate applications accounted for 6 percent of activity in the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ended May 21.
