Index continues plunge to lowest level in decades
By SAM GARCIA
3/1/2002

The Federal Home Loan Bank of San Francisco announced that the monthly weighted average cost of funds index (COFI) for the 11th District savings institutions fell again in January to 2.823%, down from 3.074% last month. The average COFI has fallen every month since December 2000, and is now at its lowest point in decades.

The COFI, which reflects the interest paid by savings institutions in Arizona, California, and Nevada on their various sources of mortgage money, is announced about 30 days after the end of the month being reported.

Mortgage giant Freddie Mac reported this week that the average one-year adjustable rate mortgage fell 2 basis points from the prior week to 4.94%, its lowest point since 1994.

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