Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Conventional Mortgages Gain In Popularity

Remember a few year years ago when it seemed as though everyone used an FHA loan to put down 3 ½ percent on a home? For those who realistically could not afford a home, putting down 3 ½ percent instead of 20 percent seemed the way to go.

However, the popularity of FHA mortgages continues to slow down, as buyers return to old school financing of 20 percent down with conventional loans.

According to the Campbell/Inside Mortgage Finance HousingPulse Tracking Survey FHA backed loans ticked up slightly in August to 25.9 percent from 25.5 percent in July. However, the percentage slid from January, when FHA transactions accounted for 27.3 percent of all home purchase transactions.

Why the change in financing? Buyers continue to take advantage of the low interest rates, the increased fees associated with FHA loans and due to some banks willing to underwrite high LTV mortgages.

Availability Of Distressed Properties Continues To Fall

Overall, mortgage financing continues to rise due to deduced availability of distressed properties. The HousingPulse Distressed Property Index (DPI) showed the share of home purchases for distressed properties decreased to 40.4 percent in August, a drop from 42.2 percent in July. The August distressed level marked the lowest level recorded since January of 2010.

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

Mortgage Financing Increases While Distressed Sales Sink

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