The cost of funds index climbed nearly a quarter percent higher.
COFI increased to 1.859% in March, the Federal Home Loan Bank of San Francisco reported Friday.
The index was 1.614% in February and 1.627% in March 2009. It fell to its lowest level on record in October 2009: 1.259%.
COFI is calculated based on 11th District member institutions’ interest expenses. The average total funds used in determining the latest index was $38.5 billion, higher than $37.9 billion a month earlier.
Another index used for adjustable-rate mortgages, the one-year Treasury bill yield, was 0.41% at end of March and April — higher than 0.32 percent at the end of February, according to U.S. Department of the Treasury data.
ARM share of activity fell to 6.0 percent in the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ended April 16 from 6.3 percent a week earlier.
