FHFA Publishes Replacement Index for Mortgage Rates

In response to advocacy by ABA, the Federal Housing Finance Agency today published new data that banks may use in place of its Monthly Interest Rate Survey, which many lenders had used to benchmark interest rates on various mortgage products. FHFA ceased publication of that index in May.

The new data is derived from Freddie Mac’s 30-year FRM Primary Mortgage Market Survey, with adjustments made by FHFA. The agency will continue publishing this replacement index, called “PMMS+” for the foreseeable future on the final Thursday of each month. The agency is expected to articulate its adjustment methodology in a forthcoming notice in the Federal Register.