Lenders tightened up their underwriting standards the last few years, making it difficult for even creditworthy buyers to get approved for a home loan. Federal Reserve Chairman Ben Bernanke said at a press conference last week that the tightening of the mortgage market â€œhas gone too far.â€Â
But recent data released by Ellie Mae shows there may be some improvement in the loosening of credit.Â
â€œThe credit box may be expanding,â€ says Jonathan Corr, Ellie Mae president and CEO.
In its latest data release, Ellie Mae found that the average FICO scores for approved loans has started to drop â€” a 767 FICO average for all of 2012 compared to 761 FICO average for all approved conventional loans during February.Â
More information at source: â€œEncouraging Signs That Mortgage Credit Is Easing,â€ Inman News (March 26, 2013)