NAR economist argues for low down payments
While analyzing the March numbers for existing-home sales, Lawrence Yun of the National Association of Realtors made a case for low down payments
"Given that FHA and VA government-backed loan programs turned a modest profit over to the U.S. Treasury last year, and have never required a taxpayer bailout, we believe low-downpayment loans should continue to be available for those consumers who have demonstrated financial responsibility and are willing to stay well within their budget. Raising the downpayment requirement would unnecessarily deny credit to many worthy middle-class families and veterans,” Yun said.
Existing home sales increased 3.7% in March to a seasonally adjusted annual rate of 5.10 million, but were down 6.1% compared to a year ago.