By Jann Swanson
Posted To: MND NewsWire
Credit access increased in November, again primarily because of new jumbo loan products. The Mortgage Bankers Association (MBA) said its Mortgage Credit Availability (MCAI) Index rose 1.2 percent to 114.6. A decline in the MCAI indicates that lending standards are tightening, while increases in the index are indicative of a loosening of credit. “Credit availability increased in November, largely due to the addition of jumbo loan programs that permit cash-out refinancing,” said Mike Fratantoni, MBA’s Chief Economist. “Home price appreciation and larger equity cushions have likely made some lenders more willing to allow certain borrowers to take cash out, while still low mortgage rates may make this a more attractive opportunity for some.” MBA also measures the relative credit risk and available…(read more)
Via:: Jumbo/Conventional Mortgage Credit Leads November Improvement
