Skip to main content

Mortgage Credit Availability Drops in September

NationalMortgageProfessional.com
Oct 08, 2013

Mortgage credit availability decreased in September according to the Mortgage Credit Availability Index (MCAI), a report from the Mortgage Bankers Association (MBA) which analyzes data from the AllRegs Market Clarity product. The MCAI decreased 0.7 percent to 110.7 in September following a similar decline in August.  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. If it had been tracked in 2007, it would have been at a level of roughly 800, indicating the credit was much more available at that time. The decrease in the MCAI in September was driven by decreases in availability of loans that have a term greater than 30 years. Shifting borrower eligibility requirements on jumbo loan programs led to offsetting increases and decreases to the MCAI.    “Credit availability tightened last month as more lenders removed program offerings with loan terms greater than 30 years and/or interest-only features, similar to the trend we observed last month,” said Mike Fratantoni, MBA’s vice president of Research and Economics. Just as before, we believe this reflects lenders implementation of the Ability to Repay/Qualified Mortgage regulation which comes fully into effect in January.  Offsetting this tightening has been some increased willingness to offer higher LTV loans, particularly to jumbo borrowers.”
Published
Oct 08, 2013
Clear Capital Announces 350 New Hires And 170 Job Openings

Clear Capital, a national real estate valuation technology company, announced it has hired more than 350 people so far in 2021, with 170 jobs currently open and accepting applications.

Community
Oct 28, 2021
Fitch To Rate BRAVO 2021-NQM3, Presale Issued

Fitch Ratings assigned its expected ratings to Bravo Residential Funding Trust's 2021-NQM3 supported by 934 loans with a total interest-bearing balance of approximately $346 million as of the cutoff date, according to Fitch.

Non-QM
Oct 28, 2021
Guild Mortgage Announces Medical Professional Mortgage Program

Guild Mortgage introduced a new mortgage product to help medical professionals buy their first home with no down payment.

Industry News
Oct 27, 2021
Mortgage Coach And HomeBinder Partner On New Integration For Homeowners

Mortgage Coach announced a new integration with HomeBinder aimed to help homeowners stay connected with their lenders.

Tech
Oct 27, 2021
Non-QM Lender Angel Oak Appoints David Raju As Group CIO

Firm continues to seek ways to optimize data and improve technology capabilities.

Non-QM
Oct 27, 2021
Evergrande Steadily Repays Debt While Taking On New Risk

Evergrande Chairman Hui Ka Yan has ambitious plans, signaling last Friday that the firm wants to move away from housing and focus on making electric cars. 

Industry News
Oct 26, 2021