I found these statistics very interesting and wanted to share them with all of you. Even though low down payment loans are back, buyers are still putting more money down on their home purchase to keep their payments low.
Just 25% of buyers in 2014 put down 3% or less using an FHA or conventional loan combined with down payment assistance, according to the report by RealtyTrac. That may seem like a significant percentage—a full quarter of buyers!—but it’s the lowest rate in a decade. Low-down-payment loans peaked in 2009, taking 46% of market share, according to the report. Since then, they have been steadily losing favor—and for good reason. RealtyTrac, a real-estate industry data provider, analyzed down payments of nearly 20 million home purchase loans from 2004 to 2014 and found that today’s postrecession buyers have cash reserves and don’t really need low-down-payment loans to buy.
For even more statistics see the full article .
