U.S. Home-Loan Credit Easing, Mortgage Bankers Say

Mortgage availability in the U.S. has eased, returning to 2011 levels, as home prices recover, according to a new index from the Mortgage Bankers Association and AllRegs.

The Mortgage Credit Availability Index -- calculated based on criteria including credit scores, loan type and loan-to-value ratios from 85 lenders and investors -- rose 7.2 percent in May from a year earlier. Mortgage availability was about eight times greater during the height of the housing boom in 2006 and 2007, when lenders offered loans to borrowers with no down payments and unverified incomes, the Washington-based bankers group said.