patrick.net

Mr.Fantastic says

A lot more cash, and a lot more FHA.

Yeah, looks like almost half of the market is probable speculator (cash) or probably can't afford it (FHA). Doesn't inspire a lot of confidence that demand from buyers who can actually afford a mortgage is really all that strong. Good luck this spring and summer flippers! Keep hoping that the the conforming loan limit won't actually drop this time around.

More cash needed possibly (at least at the minimum)...I think this is a good thing.

http://finance.yahoo.com/banking-budgeting/article/112144/banks-push-home-buyers-to-put-down-more-cash

Looking for more recent information on the types of purchases/loans, say for December or January…

http://www.dqnews.com/Articles/2011/News/California/Bay-Area/RRBay110217.aspx

Update:
25% from he FHA in January in the BA – up from Recent months.
ARMs are up to over 11% of the total...hmmm...

Thanks again, ch_tah, for the DQ News site!
It will be interesting to see if FHA surpasses 30%...

Thanks for this link Patrick:

http://www.doctorhousingbubble.com/fha-low-down-payment-buyers-cash-investors-dominate-southern-california-housing-market-63-percent-from-two-groups-real-estate/?source=patrick.net

@investing_reality thanks for this one showing cash buyers on the increase from the WSJ:

http://patrick.net/?p=649626#comment-725631

@E-man

"Interest only loans are back, and this is for investment properties. Hope you find this informative."
Thanks! Any more details such as what % of people are getting these?
How about the reappearance of teaser loans that need to be recast... I had thought that they might be extinct, however...

I found out that at one time Fannie Mae, Freddie Mac, and the Federal Housing Authority added up to about 36% of the nation's mortgage originations. In 2011, that number is above 90%.

Correct me if I am wrong anyone, but as I understand it, the FHA loans are for low % down (certainly under 20%) and may be as low as 3% down.

Wow.

Any more news for Feburary or March purchases anyone?

American in Japan says

I found out that at one time Fannie Mae, Freddie Mac, and the Federal Housing Authority added up to about 36% of the nation’s mortgage originations. In 2011, that number is above 90%.
Correct me if I am wrong anyone, but as I understand it, the FHA loans are for low % down (certainly under 20%) and may be as low as 3% down.
Wow.

A while back Dr. Housing had quoted a number that something like 85-90% of FHA loans are the 3.5% down variety.

Seriously, this bs has to end at some point. People would NEVER be bidding retard amounts on homes if they weren't playing with monopoly money. Really people are quite a bit more stupid than most of us give them credit for. I really really wish that someone would record people purchasing a car on a loan for a week or so in a auto dealership. While not exactly the same as a home, the same principle applies. People literally pay ZERO attention to the bottom line. They just negotiate off what they think they can afford at the moment. Of course, because the bottom line is someone else's problem, they view that as irrelevent.

Same thing with the houses. You get really dumb wives with the whole "oh I like this fixture" or whatever stupid whimsy of the moment. And the wimpy man just immediately kowtows and is like "oh whatever works to make our dreams come true" or whatever disney manufactured bullcrap passes for a relationship nowadays.

Anyway, point is, if people had to work with their own money, all of the sudden the superfluous bs goes away, and people actually have to pay attention to what they are paying. No more of this "oh our max price is $500K...but this place is so nice and "ONLY" $50K more". I swear I'm gonna throw my tv out the window next time I watch one of those HGTV shows............

@dodgerfanjohn

> I swear I’m gonna throw my tv out the window next time I watch one of those HGTV shows……

LoL! I can't see them in Japan... I am curious though...

dodgerfanjohn says

Seriously, this bs has to end at some point. People would NEVER be bidding retard amounts on homes if they weren’t playing with monopoly money.

I thought words like that until I realized how high a percentage of the population are owners. They're just playing the game and think they will be providing financial stability for their family. They probably grew up in an owned home and think that's just the way you do it.

Besides, how else will the very rich grow their money?

I just figured out, since I have my W2s handy, that we paid 14% of gross household income on rent last year. About 23% of net. I'm telling you, people, renting is easy, happy living. Pursue no further.

APOCALYPSEFUCK says

Bankers are good for one thing - stuffing in a wedding dress and tossing into a cell in a supermax with all the other criminally insane freaks.

But how would they taste? Sorry if you've covered this already!

Not stats, but I had a realtor go on and on when I told her that I had 20% down, and she said that the majority of people she talks to still need FHA 3.5% down. I was surprised thinking it was mostly cash or conventional loans these days.

@Finnian

Thnx! It seems like it is mainly one or the other (see above) .. Either FHA (with low money down) or cash (only) buyers.

The house next door to us is foreclosed with a big sign for FannieMae on it.

Any news for March, April or May purchases anyone?
Is FHA's share winding down?
Are interest only loans making a comeback?

Any news for July or August purchases? I am wondering if the % of FHA loans is decreasing...

Hate to keep beating on a dead horse, but I know someone up in Marin who did the FHA 3.5% down on a $708K house. I have to wonder sometimes...!

So they took out a mortgage for over $650,000...in this economy? Wow.

American in Japan says

So they took out a mortgage for over $650,000...in this economy? Wow.

Much Kudos to the bank who issues the mortgage.

They did it last Spring. One income household, too. The guy runs InCase Designs, you can Google them.

PasadenaNative says

They did it last Spring. One income household, too. The guy runs InCase Designs, you can Google them.

Sorry, he's not the CEO, I think he's the chief head of manufacturing or something. He used to travel to China quite a bit when they were starting the company.

I need more information, but I would have thought that FHA loans would still be such a major factor by mid-2011