Mortgage credit during July was at its
July's Mortgage Credit Availability Index was 98.1,
"We also saw credit supply expand for jumbo loans, particularly in the [non-qualified mortgage] space," Joel Kan, the MBA's deputy chief economist, said in a press release. "
It is the second consecutive month that MBA is attributing credit availability growth to cash-out refis.
The share of refinance activity in general over recent weeks has been on the upswing as mortgage rates have generally trended with the downward shift in the 10-year Treasury yield.
The most recent rate lock data from Optimal Blue, for Aug. 6, put refinance share at just under 30%. The MBA's own
More loosening in refinance-specific products is likely. That's because the recent drop in the 10-year Treasury meant that as of Aug. 6,
The government portion of the MCAI did decline slightly, by 0.1% in July versus June. But the conventional MCAI rose 6.4%.
The conventional index is divided into two components, with the jumbo side up huge, gaining 9.3%. Conforming credit also increased, but by just 0.7%.
