That's FHA Commissioner David H. Stevens, who spoke at the NAR conference on Saturday. He shared some information that may surprise you:- FHA guarantees approximately 25% of all housing loans today, up from around 2% during the market peak from 2004 to 2006.
- Of the FHA loans today, around 80% are for 1st time homebuyers. FHA guarantees 50% of all 1st time homebuyers today.
- Average FICO credit score for FHA loans is 690.
- The three things he, as FHA Commissioner, is most concerned about: (1) home price trends, (2) unemployment rate and (3) strategic defaults.
- He said he was only in the position until he gets things fixed, then he said he was coming back to join us...he was Long & Foster's president until he took post earlier this year.
- When explaining why the government spent capital on stimulus (including bank bailouts and homebuyer credits), he said "worrying about deficits is like worrying about water conservation when your house is on fire."
- He said that effective Monday, November 16, the second appraisal requirement for certain loan values will no longer be needed. He said "no more second appraisals ever."
Mark Bologna, Director of Loan Guaranty for the US Department of Veteran Affairs, spoke immediately after the FHA Commissioner. He shared:
- Existing VA loans only have a 2.1% foreclosure rate.
- The average FICO score on VA loan applicants is 703, although VA does not use a FICO score in the determination of credit worthiness for a VA home loan.
- He said "very soon" - but he "couldn't give us a date" veterans will be able to go online and be able to get their own certificate of eligibility.
No comments:
Post a Comment