Beginning September 17, 2009: Even if convention loans are approved by the investor, by Fannie Mae or by Freddie Mac, unless there is a 20% down payment, mortgage insurance company restrictions could stop a transaction.

Loans MI Companies will NOT insure: 

Whatever the political posturing regarding the current rescue plan, a plan needed to be passed. Credit markets  drastically tightened. This is not totally because of "toxic" mortgages. This has a lot to do with government failure to regulate investments related to consumer and mortgage loans.

Each day we hear about home price reductions.  If your neighbor was under duress because of illness, divorce, or job loss and was forced to sell the home quickly, it may have sold super cheap. Now, does that mean your house is worth that super cheap price? Clearly not. Why? Because you are not under duress. You have the time to sell your home and get a more normal price, which more accurately reflects true market conditions.

Has the market bottomed out?  No one will know until it starts to rise.  Don't wait.  In Utah, the market is improving.  

95% of home loans are problem free.  Those in trouble,  1) will be sold with an OK from the lender to accept a payoff for less than what is owed -"Short Sale" , 2) will be foreclosed, or 3) will have reached a loan modification agreement between the owner and his lender.  

Money for home loans is available but lenders have gone back to responsible lending.  (The news calls this a "frozen credit market".)  WRONG!  Buyers with good credit, sufficient income to afford the payment and a down payment are easily qualifying and receiving home loans.  Go to my Financing page for information on the various loan programs.