Fred is exactly right. Most in the media only read what a copy editor approves and there is little or no fact checking as the media now survives on sensationalizing the news not reporting the news.

There are FHA programs allowing you to purchase a home in this market just over $400,000 with 3 to 4% down. There are still many conventional loan products that based on your credit score and capacity to repay the loan that can go as high as 95%

Some markets harder hit by foreclosures do have specific loan limits but those are regionalized by the banks and the secondary mortgage market

Some in the media are very knowledgeable about real-estate, and others are quite ignorant.

Actually, one can also purchase a home today with less than 3% down--not only in Nashville TN--using seller financing.