US Mortgage Credit Availability Index Falls in June

On Tuesday, the Mortgage Bankers Association (MBA) reported that mortgage credit availability fell in June, according to its Mortgage Credit Availability Index (MCAI).

The MCAI declined 2.0% to a reading of 105.8, its lowest level since December 2025. A decline in the MCAI indicates tighter lending standards, while an increase indicates looser credit. The index was benchmarked to 100 in March 2012.

The Conventional MCAI fell 0.1%, while the Government MCAI declined 4.6%. Within the Conventional MCAI, the Jumbo MCAI rose 0.6%, and the Conforming MCAI fell 2.2%.

Commenting on the report, MBA Vice President and Deputy Chief Economist Joel Kan said:

“Mortgage credit availability decreased in June to its lowest level since December 2025. A contraction in government loan programs accounted for a significant share of the June decrease, as lenders pulled back on FHA and VA streamline refinance loan programs, particularly those for high LTV and low credit score borrowers. The jumbo index increased slightly, supported by new non-QM programs, which is consistent with other market data showing a larger non-QM share of originations.”