Special offer
John Meussner, #MortgageMadeEasy Fair Oaks, CA 484-680-4852 (Mortgages in AZ, CA, CO, DE, FL, GA, IN, MD, MN, MT, NC, NJ, NV, OK, OR, PA, SC, SD, TN, TX, UT, VA, WI)

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Ambassador
3,344,906
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

 

HELL-0

 

NO!!!

Nov 29, 2022 04:18 PM
Ambassador
3,125,265
Wanda Kubat-Nerdin - Wanda Can!
Red Rock Real Estate (435) 632-9374 - St. George, UT
St. George Utah Area Residential Sales Agent

You lost me at government, John. Not much of what they're doing is helping anyone but themselves!

Nov 29, 2022 02:29 PM
Rainmaker
1,310,972
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

Your question is misleading, John Meussner, since a reader might believe that all that is needed for a $1M Freddie Mac or Fannie Mae loan is a 5% downpayment. Also, if the reader is not paying attention, the reader may believe that this program is available everywhere, not just in "high cost" areas.

The loans would still need to be fully and properly underwritten with all exiting criteria regarding income, credit and whatever else the underwriters require.

Fannie and Freddie standard limit for loans not in "high cost" areas will be $726,200.

According to this article from Mortgage News Daily.

Nov 29, 2022 05:02 PM
Ambassador
2,684,009
Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

It will Help Sellers unload their properties.

It will help Buyers over-extend themselves, and get buried in debt.

Nov 29, 2022 07:20 PM
Rainmaker
2,390,010
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co Notary Services retired RE Broker

Short answer NO!  My answer to your elongated question is not if the only qualification is that they have 5% down. Hopefully they demand a three to five year track record of making a profit.

Nov 29, 2022 12:42 PM
Ambassador
5,229,296
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

It's a double-edged sword, John. I want to say no but, I'm not in a high cost area. As well, it will HELP the market by moving some of these higher priced homes. 

So, in a nutshell, it depends!

Nov 30, 2022 05:33 AM
Rainmaker
5,215,848
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

For fear of getting into trouble, I am simply going to agree with Wanda Kubat-Nerdin - Wanda Can! and Kathleen Daniels, Probate & Trust Specialist and move on!

Nov 30, 2022 04:30 AM
Rainmaker
1,197,022
Peter Mohylsky, Beach Expert
PMI. Destin - Miramar Beach, FL
Call me at 850-517-7098

Not a fan there but the devil is definitely in the details.  

Nov 29, 2022 03:38 PM
Rainmaker
5,104,931
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

NO, NO, NO!

Nov 30, 2022 04:54 AM
Ambassador
4,692,235
Brian England
Ambrose Realty Management LLC - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

I think that having a higher loan limit helps since prices have risen so high.  I don't trust the government to do the right thing though.

Nov 30, 2022 04:48 AM
Ambassador
6,392,899
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

I am sure that it helps us to sell a few more high end properties, though I personally am not a fan of having the govt involved in the housing market.

Nov 29, 2022 06:51 PM
Rainmaker
1,555,753
Gary Frimann, CRS, GRI, SRES
Eagle Ridge Realty / Signature Homes & Estates - Gilroy, CA
REALTOR and Broker

Sure, why not.  Most importantly perhaps is they are setting as a benchmark certain proven underwriting standards.

Nov 30, 2022 05:39 AM
Rainmaker
2,781,013
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

We will need more than ever the help of lenders/banks to vet correctly all applying for funds. If THEY decide it is worthy, then proceed as it will be business as usual. As far as having a loan program available for that amount, with the price of Real Estate, cars and technology on the rise and still moving, that is exactly what these loans are designed to do i.e., allowing people to be a player and keep the economy-machine going.

Nov 29, 2022 02:52 PM
Rainmaker
1,844,171
Lyn Sims
Schaumburg, IL
Real Estate Broker Retired

Seems like a 1M FHA loan of sorts. There all kinds of wacky products coming back on the market so here's an example of another one.

Nov 30, 2022 05:54 AM
Rainmaker
1,052,056
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

I'm not sure the government needs to be any more involved in the housing market than it is. Having said that, IF the borrower is qualified to leverage their money . . . sure.

Nov 30, 2022 06:56 AM
Rainmaker
7,835,266
Roy Kelley
Retired - Gaithersburg, MD

This program does not bother me. The borrowers need to be qualified for the financing.

Nov 30, 2022 11:37 AM
Rainmaker
643,875
Greg Large
ERA Real Solutions - Grove City, OH
A Tradition of Trust

clearly the gubment doesn't give a hoot about what people with a lick of sense think, so not gonna give this a second thought.

Nov 30, 2022 08:59 AM
Rainmaker
1,502,858
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

They will help the future foreclosure market as people will be in way over their heads yet again.  Loan programs, proof that we learn nothing from our mistakes.

Nov 30, 2022 08:12 AM
Rainmaker
1,513,143
Raymond E. Camp
Ontario, NY

I am not a fan of government in any respect to our daily lives.

Nov 30, 2022 07:34 AM
Rainmaker
763,783
Tony Lewis
Summit Real Estate Group - Valencia, CA
Summit Real Estate Group Valencia & Aliso Viejo

I think it's great as move up buyers allow lower priced buyers the opportunity to buy a house.

Nov 30, 2022 06:51 AM
Rainmaker
1,239,801
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

The 5% down does not hedge when home valuation falls like now. With the recent firing in high tech, I wonder if some the entranched employees can hold on to their homes.  Time will tell.

Dec 07, 2022 08:23 AM
Rainer
337,754
Adam Feinberg
Elegran - Manhattan, NY
NYC Condo, Co-op, and Townhouse Advisor

I sort of have a mixed reaction to this for my local market. The higher loan limits are helpful here...but most buildings here are portfolio lending. Most condos here are seeking a minimum of 10% down and most co-op's require a minimum of 20% down.

Overall outside my local market- While I do like the higher limits in high cost areas- the 5% down aspect troubles me. 

 

Dec 02, 2022 11:48 PM
Rainmaker
901,187
Carla Freund
Keller Williams Preferred Realty - Raleigh, NC
NC Real Estate Transition & Relocation 919-602-848

I think it was needed. Home averages have gone up. Also, if a person can afford that payment, there's a good chance they have money elsewhere or have a lot of potential. 

Dec 02, 2022 12:10 PM
Rainmaker
900,008
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

Hurt - these relaxed terms will expedite a market crash.

Nov 30, 2022 12:54 PM
Rainer
378,367
Don Baker
Lane Realty - Eatonton, GA
Lake Sinclair Specialist

As a former veteran, I say in some cases, but not all.

Nov 30, 2022 12:52 PM