Key facts
- Mortgage credit availability decreased by 2% in June.
- The Mortgage Credit Availability Index (MCAI) reached 105.8, its lowest point since December 2025.
- Government loan programs, including FHA, VA, and USDA, experienced a 4.6% decline in availability.
- Jumbo loan availability saw a slight increase of 0.6%.
Mortgage credit availability tightened in June, with the Mortgage Bankers Association's (MBA) Mortgage Credit Availability Index (MCAI) falling 2% to 105.8. This marks the lowest reading since December 2025, indicating a contraction in lending standards. The decline was largely attributed to a 4.6% decrease in the availability of government-backed loan programs, such as those from the FHA, VA, and USDA. Lenders particularly pulled back on FHA and VA streamline refinance programs for borrowers with high loan-to-value ratios and low credit scores. Conversely, the jumbo loan index saw a slight increase of 0.6%, supported by new non-qualified mortgage (non-QM) programs. The Conventional MCAI overall decreased by 0.1%, with the Conforming MCAI falling 2.2% while the Jumbo MCAI rose. The MCAI is a quantitative index that combines underwriting metrics and borrower eligibility criteria from over 95 lenders and investors.