The Mortgage Bankers Association’s Mortgage Credit Availability Index is a monthly measure of whether obtaining a mortgage has become easier or more difficult for borrowers. A decline in the Index indicates lending standards have tightened while an increase means credit has loosened. In March, the Index rose 2.5 percent. That’s good for potential buyers, as it means their ability to secure financing has improved. Joel Kan, MBA’s vice president and deputy chief economist, says credit availability is now at its highest level in years. “Mortgage credit availability increased to its highest level since January 2023, driven by growth in cash-out refinance programs, as recent mortgage rate volatility has opened the door for some borrowers to refinance” Kan said. “The credit supply growth was primarily in conventional programs, with jumbo availability at its highest in five years. Government credit availability was essentially unchanged over the month.” (source)
