There is no doubt that getting a mortgage is easier today than it was right after the housing crash a decade ago. However, the easing of credit availability has led to some questioning of whether or not we are headed for another housing crisis.
Let’s put everything into the proper perspective.
Getting a home mortgage has definitely gotten easier over the last three years as evidenced by the
However, if we look further back at the index we see quite a different story.
The graph below shows the index going back to 2004, and the first graph we showed you above is represented by the small, orange, triangular section all the way in the lower-right corner.
As this visual easily illustrates, today’s index is nowhere near the levels it shot up to in 2006.
Mortgage credit is definitely easing. However, we are not coming close to the lax standards that caused the housing crisis of last decade.