"Credit availability in July decreased overall, driven by declines in the conforming and government indices. Conditions tightened some for borrowers with high loan-to-value ratios and lower credit scores," Joel Kan, the MBA’s associate vice president of economic and industry forecasting, said in a press release.
"One outlier was the jumbo index, which increased to its highest level since the inception of this survey in 2012. The decline in the government index resulted from a pullback by investors in government high-balance and streamlined refinance products."
The MCAI's conventional component edged up 0.1% from June, as the jumbo segment rose 0.7%. The government MCAI fell 1% and the conforming component decreased 0.8%.
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While the credit availability has generally been higher than it was in 2012 — especially through the first half of 2019 — it pales in comparison to the boom period of 2006. Before the housing bubble popped, the index approached 900.