The 11th District Cost of Funds Index fell to the lowest level on record in its 36-year history even as another index moved higher.
COFI,
which is utilized as an index for some legacy adjustable-rate mortgages, was determined to be 0.591 percent in February.
Based on data going back to July 1981, the most-recent index turned out to be the lowest ever, breaking the record set in October 2016.
COFI was
0.616 percent in January 2017 and 0.670 percent in February 2016.
The index is reported each month by the Federal Home Loan Bank of San Francisco based on the interest expenses at FHLB member banks with headquarters in Arizona, California and Nevada.
For the latest calculation,
$16.2 billion in average total funds were used.
A more widely utilized ARM index, the yield on the one-year Treasury note, finished February at
0.88 percent, rising from 0.84 percent at the conclusion of January, according to data provided by the Department of the Treasury.
The one-year Treasury note yield
ended March at 1.03 percent.
ARM share was 9.0 percent in the U.S. Mortgage Market Index report from Mortgage Daily and OpenClose for the week ended March 31.
