Zillow Advice: Mortgage - Turbulent Times http://www.zillow.com/advice-thread/Turbulent-Times/400811/ Zillow Advice | Zillow Real Estate Nope; I can't relate...I ... http://www.zillow.com/advice-thread/Turbulent-Times/400811/ Nope; I can't relate...<br/><br/>I have never been a type-A person; and I have never relied on "bubble market" business.&nbsp; Nor have I ever had to scramble to find venders to meet my obligations.<br/><br/>How come you didn't post in "pro to pro", perhaps under "lenders"?<br/> Tue, 31 May 2011 17:55:00 GMT http://www.zillow.com/advice-thread/Turbulent-Times/400811/ 2011-05-31T17:55:00Z SoCal,Low down payment programs ... http://www.zillow.com/advice-thread/Turbulent-Times/400811/ SoCal,<br/><br/>Low down payment programs did not cause the bubble.&nbsp; I don't even think the low down payment programs had too much to do with the run up in prices.&nbsp; <br/><br/>The issues in my opinion were caused by loan programs that allowed folks that truly couldn't afford the homes to buy the homes.&nbsp; Most folks that can truly afford the mortgage payments they have will continue to make those mortgage payments regardless of value.&nbsp; The problem comes in when someone can't afford the payments and can't sell the property for what they owe....That leads to foreclosures and short sales.&nbsp; VA loans are great loans even at 100% LTV...why...because they have the most conservative qualifying guidelines...You need to be able to afford the payments and...get this document that you can afford the payments!<br/><br/>Requireing 20% down will only cause property values to drop more...leaving more folks face with the reality that they can't afford the payments and they can't sell the home!.&nbsp; Restict the debt ratio's for lower down payment loans...don't eliminate them. Tue, 31 May 2011 17:36:00 GMT http://www.zillow.com/advice-thread/Turbulent-Times/400811/ 2011-05-31T17:36:00Z SoCal,I'm surprised&nbsp;how ... http://www.zillow.com/advice-thread/Turbulent-Times/400811/ SoCal,<br/><br/>I'm surprised&nbsp;how you critiqued her story. Did you read it in it's entirety?<br/><br/>This is a true story about how a mortgage broker survived the storm. She is not seeking "general sympathy." She has told what she encountered and how she had to&nbsp;adjust&nbsp;to stay in the business. I think it was very well written. That's why I asked "Can you relate?"&nbsp;I was expecting responses from mortgage professionals.<br/><br/>Happy funding, Rudi Tue, 31 May 2011 16:33:00 GMT http://www.zillow.com/advice-thread/Turbulent-Times/400811/ 2011-05-31T16:33:00Z "Turbulent Times" or "We ... http://www.zillow.com/advice-thread/Turbulent-Times/400811/ "Turbulent Times" or "We told you..."? The consequences&nbsp;of REAs and brokers making bank on transactions that never should have happened had to eventually happen.<br/><br/>I'm a big believer in 20% down, with some limitted programs for special segments (e.g. VA). I just can't muster any "general sympathy" for industries that made bank - even though they were just taking advantage of the existing rules and guidelines.<br/><br/>Yet, still now, there are REAs and brokers "working the margins". Why? Because there's not enough business for everyone - so the solution is to keep trying to expand the fringe. Sat, 28 May 2011 01:44:00 GMT http://www.zillow.com/advice-thread/Turbulent-Times/400811/ 2011-05-28T01:44:00Z