Last month saw a mild increase in the level of mortgage credit availability, according to data from the Mortgage Bankers Association (MBA).
The trade group’s Mortgage Credit Availability Index (MCAI) has a slight 0.2 percent uptick to 189.8 in June. The Conventional MCAI was up 0.3 percent but the Government MCAI dipped 0.1 percent. Of the component indices of the Conventional MCAI, the Jumbo MCAI rose by 0.6 percent but the Conforming MCAI was down 0.1 percent.
“Overall credit availability increased only slightly in June over May’s levels. Jumbo credit availability increased for the sixth month in a row and is at its highest level since 2011, when the survey began,” said Joel Kan, MBA’s associate vice president of economic and industry forecasting. “Credit availability has generally increased in 2019 as lenders have worked to meet affordability challenges. Because mortgage rates have recently fallen and home price growth has decelerated in many markets, credit availability may stabilize at its current levels.