Mortgage rates increased but at a slower pace.

The Federal Home Loan Bank Board said the average fixed-rate conventional mortgage of 15 years or more was written at an effective interest rate of 10.85% in early June, up from 10.62% in early May. But the 0.23 percentage point rise during the month contrasted with a 0.92 point increase during the previous month. The June rate was still below the 11.05% rate of June, 1986, but was well above the March low of 9.47%. The average rate for adjustable-rate mortgages rose in early June to 8.74% from 8.57%.