Mortgage Credit Availability Falls in February

Mar 10, 2020

Mortgage credit availability decreased in February, according to the Mortgage Credit Availability Index (MCAI), a report from the Mortgage Bankers Association (MBA) that analyzes data from Ellie Mae’s AllRegs Market Clarity business information tool.

The MCAI fell by 0.3 percent to 181.3 in February. A decline in the MCAI indicates that lending standards are tightening, while increases in the index are indicative of loosening credit. The Index was benchmarked to 100 in March 2012. The Conventional MCAI decreased 1.2 percent, while the Government MCAI increased by 0.7 percent. Of the component indices of the Conventional MCAI, the Jumbo MCAI decreased by one percent, and the Conforming MCAI fell by 1.6 percent.

“Mortgage credit supply decreased in February, as both conforming and jumbo segments of the market saw a decline,” said Joel Kan, MBA’s associate vice president of economic and industry forecasting. “There were also reductions in ARM program offerings, as well as in low credit score programs offered by investors. Last month’s activity was the calm before the storm. Mortgage rates dropped steeply in the last week of February and a large surge of refinance activity followed. Investors may adjust their future mortgage credit offerings based on the sudden upswing in demand.”

Mortgage credit availability decreased in February, according to the Mortgage Credit Availability Index (MCAI)

About the author

NationalMortgageProfessional.com

Link copied

Published

Mar 10, 2020

People On The Move

Informed Names Daniel Sogorka CEO, Eyes Mortgage Expansion

Informed has named mortgage-tech veteran Daniel Sogorka CEO as the AI fraud detection platform looks to expand beyond auto lending

Informed, the AI fraud-detection platform behind more than $350 billion in automated auto loan originations, has named Daniel Sogorka as CEO. His résumé has nothing to do with cars.Sogorka spent two decades in mortgage leadership at Black Knight/ICE, ServiceLink/FNF, Sagent,...

Industry News

NEXA, UMortgage Leaders Explain What Drove Acquisition

Kortas relinquishes the CEO title, elevating Casa to co-equal "executive partner"

The acquisition of UMortgage by NEXA Lending did more than combine two large broker organizations. It turned two of the channel’s most visible former rivals into equal partners.In a podcast episode, hosted by MaxClass's Jeana Lanktree, UMortgage CEO Anthony Casa, NEXA CEO Mi...

Nov

Pasadena, CA

More from

Industry News

NEXA, UMortgage Leaders Explain What Drove Acquisition

Kortas relinquishes the CEO title, elevating Casa to co-equal "executive partner"

Industry News

Aug 31, 2026

Warsh Sees Housing Strain, Keeps Rate Hikes In Play

Fed chair says broader financial conditions remain loose, inflation is too high, and markets should expect less guidance on what comes next

Industry News

Aug 31, 2026

July CPI Eases Mortgage-Rate Risk, But Doesn’t Promise Relief

Consumer inflation rose just 0.1% in July, reducing pressure for a September Fed rate hike as mortgage rates remain near their highest levels of the year

Industry News

Aug 13, 2026

The Fed Held. The Mortgage Market Got A Warning.

Three policymakers favored an immediate hike, while Warsh welcomed higher bond yields and offered no clear path toward mortgage-rate relief

Industry News

Jul 30, 2026

New Study Finds UWM's 'All-In' Triggered Industrywide Pricing Spillovers

Research shows wholesale competitors responded to the 2021 Rocket ban by lowering mortgage rates,

Industry News

Jul 15, 2026

First Major Housing Reform In Decades Becomes Law Without Trump's Signature

Bipartisan ROAD to Housing Act advances supply, construction, and mortgage reforms despite White House protest