The headline clearly says MAY become more expensive/harder.. I’ll believe it when I see it.

FHA is the next subprime, a taxpayer bailout will be needed. FHA losses must be staggering and well hidden. the BIG CHANGE that FHA made awhile back was going from 3% down to 3.5% down. Politicians bought and paid for. I don’t think you will ever see FHA @ 10% down. The housing market would collapse.

FNMA has already earmarked around 115 BILLION dollars of taxpayer money out of $400 billion allotted.. They lost $19BN in Q3 and $15BN in Q2,,, $34 billion loss in 6 months,,,niiiice.

There was no govt intervention on the way up while the bubble was inflating, there will be no shortage of intervention on the way down.

The only fix for the housing mess is accelerated foreclosures not delaying them. Modifications are just a delay.
When I tell people that I don’t think they can afford the house they want to buy they think I’m nuts.

There’s still way too much optimism about prices “recovering”… Prices falling IS the recovery, back to reality.
I don’t think that it is possible for homes to ever be worth what they were in 2005-06 in today’s dollars, yet many people in bubblicious areas are hanging on solely because they don’t want to lose money.

Foreclosures are not the problem, foreclosures are the solution. Houses wont sit empty, they will be purchased for what they are worth and what buyers can afford to qualify for at the time.

Don’t forget, mortgage rates are near the lowest ever, yet millions cannot qualify for one reason or another.