Mortgage Credit Availability Improved for Third-Consecutive Month

For a third month in a row, mortgage credit availability improved in May according to the Mortgage Banker Association’s (MBA) Mortgage Credit Availability Index (MCAI). Rising by 0.5% from the previous month, the MCAI index reached 122.6. MBA Chief Economist, Mike Fratantoni, attributed the consistent easing in credit availability to the “increased availability of cash out refinance loans and greater availability of FHA 203K home improvement loans.”

The MCAI traces total mortgage credit availability, based on data provided by Ellie Mae’s AllRegs® Market Clarity® information tool, and spans an estimated 10-years. “A decline in the MCAI indicates that lending standards are tightening, while increases in the index are indicative of loosening credit.” In addition to their Total MCAI, the MBA also evaluates mortgage credit availability for conventional, government, conforming and jumbo loans and created indices for each loan type. Read more at

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