Mortgage Credit Availability Decreases in June

Mortgage Credit Availability Decreases in June

WASHINGTON, D.C. – July 8, 2015 – (RealEstateRama) — Mortgage credit availability decreased in June according to the Mortgage Credit Availability Index (MCAI), a report from the Mortgage Bankers Association (MBA) which analyzes data from Ellie Mae’s AllRegs® Market Clarity® business information tool.

The MCAI decreased 0.5 percent to 122.0 in June. A decline in the MCAI indicates that lending standards are tightening, while increases in the index are indicative of a loosening of credit. The index was benchmarked to 100 in March 2012. Of the four component indices, the Conventional MCAI saw the greatest tightening (down 1.0 percent over the month) followed by the Jumbo MCAI (down 0.6 percent), the Conforming MCAI (down 0.3 percent), and the Government MCAI (down 0.2 percent).

“This month mortgage credit availability reverted to its April level taking back the gains observed in May. Despite recent signs of improvement in housing markets, mortgage credit availability stalled in June,” said Lynn Fisher, MBA’s Vice President of Research and Economics. “Increases driven by higher availability of cash out refinance loans were more than offset by reduced availability of other types of loans this month, resulting in a decline in the index from May.”

CONTACT
Ali Ahmad

(202) 557- 2727

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The Mortgage Bankers Association (MBA) is the national association representing the real estate finance industry, an industry that employs more than 280,000 people in virtually every community in the country. Headquartered in Washington, D.C., the association works to ensure the continued strength of the nation’s residential and commercial real estate markets; to expand homeownership and extend access to affordable housing to all Americans. MBA promotes fair and ethical lending practices and fosters professional excellence among real estate finance employees through a wide range of educational programs and a variety of publications. Its membership of over 2,400 companies includes all elements of real estate finance: mortgage companies, mortgage brokers, commercial banks, thrifts, Wall Street conduits, life insurance companies and others in the mortgage lending field.

Contact:

Mortgage Bankers Association
1331 L Street, NW
Washington, DC 20005

Phone: (202) 557-2700

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