BANKING & FINANCE - Feb. 25, 1994

30-Year Mortgage Rates Climb: Thirty-year, fixed-rate mortgages averaged 7.32% this week, up from 7.11% last week, according to a national survey released by the Federal Home Loan Mortgage Corp. The rates were the highest since June 24, when they averaged 7.34%. After dropping to a 25-year low of 6.74% in October, rates began to rise and have moved up and down in a relatively narrow range. Analysts do not expect fixed-rated mortgages to rise much above 7.5% this year. On one-year, adjustable-rate mortgages, lenders were asking an average initial rate of 4.25%, up from 4.18% last week. Fifteen-year mortgages averaged 6.80% this week, up from 6.64% a week earlier. The rates do not include add-on fees known as points.