The availability of mortgage credit
bounced back a bit in December the Mortgage Bankers Association (MBA) said
today. Its Mortgage Credit Availability
Index (MCAI) increased 0.6 percent to 110.9 from 110.2 in November. The uptick followed four straight months in
which the Index declined.
The MCAI analyzes data from the AllRegs® Market Clarity® product.
A decline in the index indicates that lending standards are tightening.
MBA said credit availability
was little changed as investors continued to fine-turn credit score and LTV
eligibility matrices. The association
said it appeared that many investors had previously made adjustments to account
for new regulations from the Consumer Financial Projection Bureau which go into
effect next week.
The MCAI was benchmarked to 100 in March
2012. By way of context, MBA said had credit been tracked in such a way in
2007 the index would have been at a level of roughly 800, indicating the credit
was much more available at that time.