Archive for the 'fha loans' Category

FHA bailout inches closer – FHA defaults surge 26 percent while upping mortgage insurance premiums to make loans more expensive. Foreclosure starts outnumber foreclosure sales 3 to 1.


The failed mission of the FHA – supporting high home prices when your mission is affordability. Low interest rates are a reflection of a global financial crisis and not a healthy economy.


Will the FHA require a bailout? – 12,000,000 underwater mortgages 3,000,000 are FHA insured loans. 1 million underwater mortgages originated in last two years.


The incoming bailouts for the government mortgage complex and student debt markets – 15 percent of FHA insured loans are 30+ days delinquent. Total first mortgage market fell by $600 billion since 2007 yet government backed mortgages rose by $1.1 trillion.


FHA insured loans have stepped in to fill a gaping void left from low down payment mortgage products. The risk and consequence for this action is now coming home to roost in a dramatic fashion.


The down payment boogeyman – report finds requiring a 20 percent down payment would push out 60 percent of borrowers from qualified residential mortgages (QRMs). Those 29 to 34 acquired a mortgage for the first time in 1999 to 2001 at a 17 percent rate but that rate is now down to 9 percent.


By Month:



By Category:

© 2014 Dr. Housing Bubble