[quote=joec]Agreed…I think if like the old days, 20% down was required, the housing crash probably would’ve never happened and banks would probably not need to be bailed out.

20% down would eliminate probabl 85% of the buyers since people seem to have trouble saving money in general.[/quote]

I think a 20% down requirement would eliminate some FTBs but repeat buyers, not so much.

The prospective FTBs who would be eliminated probably weren’t in good enough (financial) shape to be homeowners, anyway.

Then there is the VA zero-down mortgage (currently up to $527,500 for a SFR in SD County) to expose taxpayers to more deadbeat FTBs, many of whom default as soon as they get (predictable) “change of station” orders. Due to the VA “lender guarantee” equaling only 25% of the loan (and the vast majority of the VA’s defaulted properties returned to them in terrible condition due to the defaulted trustor usually moving in a hurry and leaving a ton of crap and filth behind), this is but one more failed gubment program which undoubtedly costs taxpayers billions in losses every year.