Is Getting A Mortgage Getting Easier

Dated: 04/09/2015

Views: 480

Is Getting a Mortgage Getting Easier? | Simplifying The Market

There has been a lot of discussion about how difficult it is to get a home mortgage in this market. There is no doubt that the process is not as easy as it was eight to ten years ago and that’s probably good news. However, it does appear that availability to mortgage money is increasing with each passing day.

The Mortgage Bankers’ Association publishes the Mortgage Credit Availability Index (MCAI). According to their site the index is “a summary measure which indicates the availability of mortgage credit at a point in time”. As we can see from the graph below, mortgage availability has been increasing dramatically over the last six months.

Mortgage Availability | Simplifying The Market

Accompanying the latest index was this comment from Mike Fratantoni, MBA's Chief Economist:

"A number of factors contributed to a loosening of credit in March: Freddie Mac's introduction of their 97 LTV program (Fannie Mae's was implemented in December) [and the] additional loosening of parameters on jumbo loan programs… Although credit remains tight by historical standards, this increase in availability, coupled with low rates and job market strength, should lead to stronger home purchase activity this spring."

Bottom Line

If you have remained on the sidelines regarding homeownership because you were concerned about your ability to qualify for a mortgage, it may be time to get into the game.

Latest Blog Posts

3 Reasons This Is NOT The 2008 Real Estate Market

3 Reasons This is NOT the 2008 Real Estate MarketNo one knows for sure when the next recession will occur. What is known, however, is that the upcoming economic slowdown will not be caused by a

Read More

3 Reasons To Use A Real Estate Pro In A Complex Digital World

3 Reasons to Use a Real Estate Pro in a Complex Digital WorldIf you’re searching for a home online, you’re not alone; lots of people are doing it. The question is, are you using all of your

Read More

What You Need To Know About The Mortgage Process

What You Need to Know About the Mortgage Process [INFOGRAPHIC]Some Highlights: Many buyers are purchasing homes with down payments as little as 3%. You may already qualify for a loan, even if

Read More

Homeownership Is The Top Contributor To Your Net Worth

Homeownership is the Top Contributor to Your Net WorthMany people plan to build their net worth by buying CDs or stocks, or just having a savings account. Recently, however, Economist 

Read More