The Federal Housing Finance Agency reported Tuesday that the national average contract mortgage rate for the purchase of a previously occupied home – an index for ARM loans – edged back up to 3.35% in January from 3.29% in December. That pushes the rate closer to the 3.36% level reached in November.

Also on the rise, the average rate for a conventional, 30-year loan of $417,000 or less increased by 6 basis points to 3.53% in January, which is up from 3.47% in December and closer to the 3.54% level from November.

The interest rates depicted are determined 30 to 45 days before a loan closes. The data in the report shows the market conditions in mid- to late- December.

Raising 4 basis points from 3.42% in December, the effective interest rate, which reflects the amortization of initial fees and charges, edged up to 3.46%.

The contract rate on the composite of all mortgage loans, fixed- and adjustable-rate included, increased 6 basis points to 3.34% from 3.28% in December.

Changing for the first time since December and November, the average loan term declined slightly to 27.1 years in January. The average loan-to-price ratio in January was 76.4%, up 0.1% from 76.3% in December.

Sinking down, the average loan amount was $254,700 in January, which is down $19,400 from $274,100 in December.    

Starting to rise from the drop in December, 26% of the purchase-money mortgage loans in January were no-point mortgages, which is up from 11% in December. 

bswanson@housingwire.com