Mortgage Credit Tightens in April, Except for Jumbos: MBA
Mortgage credit availability dipped slightly in April, even while lending standards loosened for large adjustable-rate loans, according to an index published by the Mortgage Bankers Association.
"On one hand, credit continues to be more available to jumbo borrowers," said MBA Chief Economist Mike Fratantoni in a press release Thursday, adding that some conventional and Federal Housing Administration loan programs have also eased standards.
"On the other hand, some investors shut down or tightened criteria for certain programs."
The index used by MBA to measure available credit fell by 0.18% during the month, to 113.8. The decrease indicates an overall tightening of lending standards.